Exchange value and its essence

In the production of goods, labor and materials are transformed in them. Therefore, the product is the result of these actions, which can be exchanged for other products. It is not intended for own consumption. Each product has a value, which is divided into two categories: consumer and exchange. It depends on the properties of the goods and the invested funds. Let us consider in more detail what exchange value is.

The product has properties that determine its value. It is designed to meet the needs of society, but not the one who produces it. It is properties that meet certain needs and are components of consumer value.

The properties of the goods can vary with the new production requirements. But in order for these properties to acquire a commercial appearance, it is necessary to make the product an object of labor. The result is a product designed to meet the needs of other people. Thus, the commodity value is supplemented by the exchange value of the commodity.

We can say that consumer properties are an abstract concept. In contrast, exchange value is a finished commodity, for which a certain amount of labor was spent. Such goods can be exchanged for other labor results in the volumes and proportions that are established with the help of other market instruments.

In another way, the exchange value is a certain amount of the consumer value of a commodity in which it can be exchanged for a certain amount of the consumer value of another commodity.

Here it is necessary to note the existing trend of exchange of goods. There are some equal proportions that fluctuate within the average range for all products. However, such an equality can not be attributed to the consumer value of goods, because they are different in their qualities and functions.

The exchange value is established in accordance with the expended amount of labor for the manufacture of goods. This is due to the fact that this indicator is quantifiable.

In the process of production, the total value of the goods is manifested. But it is found only as a result of exchanging it for another product. The exchange value plays an important role here.

The properties of the goods determine the value of the goods. They are an internal factor. The external factor should be attributed to their manifestation in the process of exchange, which is the exchange value.

The dependence of the consumer value on the exchange value is considerable. We can say that the last indicator directly depends on the properties of the goods. In the conditions of the modern market this is the most important factor that increases the exchange value.

It is on the market that the product meets other similar products. So there is competition. Here the quality and properties of the product play an important role. It is necessary that it more fully meets the needs of society. So the consumer value of the goods rises.

If the product by its properties is able to more fully meet the needs of the buyer, then its exchange for other products occurs at a higher exchange value.

Therefore, the result of any activity should be a higher exchange value of the commodity.

But the level of production profit is affected not only by the consumer value. It is important to consider many factors. It is necessary to rationally use the resources and labor expended in the production of goods. Then high exchange value will bring more effect.

The exchange value manifested itself from the origins of the origin of commodity relations. Subsequently, the equivalent of exchange became money.