§ 3. The concept of labor as disutility cost suggests later valid theories, but fails to lead to a satisfactory result 36 § 4. The arguments, by which Smith supports the labor-command standard, prohibit its use under the conditions of advanced society 39 CHAPTER V RICARDO AND THE TRUE CLASSICAL LABOR THEORY § 1. General estimate of Ricardo’s theory 41 § 2. At foundation an attempt to reconcile the “philosophical” and “empirical” accounts 42 § 3. Preliminary conditions of the theory laid down by Ricardo himself 44 § 4. How determine quantity of labor; unsatisfactory treatment of skilled labor; labor indirectly applied 46 § 5. The introduction of interest on capital as an element in cost of production (i. e., entrepreneur’s cost) 49 § 6. In Ricardo’s conception, interest enters into Natural Price or Normal Value, though he does not make this clear 50 § 7. Essence of Ricardo’s explanation of the complication of interest 52 § 8. Peculiarly round-about form of statement of the same 53 § 9. Ricardo’s explanation of the complication also positively misleading 55 § 10. Summary 56 CHAPTER VI MCCULLOCH, JAMES MILL AND TORRENS. ANTICIPATION OF MARX’S THIRD VOLUME § 1. The interest which attaches to these three minor writers 61 § 2. Samples of McCulloch’s extravagant dogmatism 62 § 3. McCulloch anticipates Marx’s solution of the “organic composition of capital” complication 64 § 4. James Mill’s complete misapprehension of the nature of the interest difficulty 70 § 5. False move made by Torrens in defining the concept of entrepreneur’s cost 74 § 6. Shallow attempt of Torrens to avoid the interest difficulty by a theory of “accumulated labour” 76 CHAPTER VII THE EMPIRICAL THEORY AS DEVELOPED BY MALTHUS § 1. Malthus a prolific writer on value, and opponent of Ricardo 79 § 2. An important transfer of emphasis from the “philosophical” to the “empirical” account 79 § 3. The law of costs made subordinate to the law of supply and demand 80