In that it ignored the previous half a century of (well tested) advances on the area and just made claims that were already known not to hold on the real world.
For example, the entire labor theory of value doesn’t hold up on the real world and Economics had already better explanations for the phenomenon it was trying to explain.
None of the LTV hold up. For a start, it predicts that people won’t ever trade. That’s quite a big flaw because, you know, people do trade. Theories of value predicting people won’t trade was a big problem by the time Marx was young. His one doesn’t solve the problem at all, but well, it wasn’t a problem anymore when he published.
The family of theories of value that predict that trade happens are called “subjective theories of value”.
Labour theory of value puts value on goods for the sole purpose of trading and explaining trades. Both LTV and STV does.
Marx’s use of LVT is to criticize how Capitalism leads to exploitation. But although the specifics differ SVT could still be used to raise the same critiques.
Removed by mod
In that it ignored the previous half a century of (well tested) advances on the area and just made claims that were already known not to hold on the real world.
Removed by mod
For example, the entire labor theory of value doesn’t hold up on the real world and Economics had already better explanations for the phenomenon it was trying to explain.
Removed by mod
None of the LTV hold up. For a start, it predicts that people won’t ever trade. That’s quite a big flaw because, you know, people do trade. Theories of value predicting people won’t trade was a big problem by the time Marx was young. His one doesn’t solve the problem at all, but well, it wasn’t a problem anymore when he published.
The family of theories of value that predict that trade happens are called “subjective theories of value”.
Removed by mod
An attempt of pushing some amount of subjectivity into his value theory, but still in a way that keeps it objective and still fails to predict trade.
Removed by mod
Labour theory of value puts value on goods for the sole purpose of trading and explaining trades. Both LTV and STV does.
Marx’s use of LVT is to criticize how Capitalism leads to exploitation. But although the specifics differ SVT could still be used to raise the same critiques.
It certainly holds up better than whatever nonsense western economists peddle.