IDEAS home Printed from https://ideas.repec.org/p/aut/wpaper/201407.html
   My bibliography  Save this paper

The Nature and Causes of Profits: The Classical Approach from Smith to Marx

Author

Listed:
  • Sean Kimpton

    () (Department of Economics, Faculty of Business and Law, Auckland University of Technology)

Abstract

The Global Financial Crises has motivated some to rethink the dominance of global capitalism. This has revived an interest in Marxist doctrine and in particular its examination of the notion of exploitation. Marx’s theory of value is central to his examination of exploitation. This paper will show that both these posits of Marx are in error. Further, it will show that Marx draws heavily on Smith’s idea of the primacy of wages. However, this paper will demonstrate that profit, and not wages, are the original source of income. This paper reaffirms the importance of profits and the ability of entrepreneurs and capitalists to pursue them.

Suggested Citation

  • Sean Kimpton, 2014. "The Nature and Causes of Profits: The Classical Approach from Smith to Marx," Working Papers 2014-07, Auckland University of Technology, Department of Economics.
  • Handle: RePEc:aut:wpaper:201407
    as

    Download full text from publisher

    File URL: http://www.aut.ac.nz/__data/assets/pdf_file/0016/503620/Economics-WP-2014-07.pdf
    Download Restriction: no

    More about this item

    Keywords

    Adam Smith; Karl Marx; Profit; Exploitation; Labour Theory of Value; Classical Economics;

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:aut:wpaper:201407. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Gail Pacheco). General contact details of provider: http://edirc.repec.org/data/fbautnz.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.