Capitalism; Imperialism; Saving and investment; Socialism
Admittedly, Bulgakov's real solution and that of Russian Marxists in
general who deal extensively with the problem must be sought elsewhere.
Just like Tugan Baranovski and Ilyin [Lenin], Bulgakov underlines the
fact that the opposing sceptics made a capital error with respect to the
possibility of accumulation in analysing the value of the aggregate
product. They, especially Vorontsov, assumed that the aggregate social
product consists in consumer goods, and they all started from the false
premise that consumption is indeed the object of capitalist production.
This, as the Marxists now explain, is the source of the entire
misunderstanding--of all the imaginary difficulties connected with the
realisation of the surplus value, with which the sceptics racked their
brains.
'This school created non-existent difficulties because of this mistaken
conception. Since the normal conditions of capitalist production
presuppose that the capitalists' consumption fund is only a part of the
surplus value, and the smaller part at that, the larger being set aside
for the expansion of production, it is obvious that the difficulties
imagined by this (the _populist_) school do not really exist.'[306]
The unconcern with which Bulgakov here ignores the real problem is
striking. Apparently it has not dawned on him that the question as to
the ultimate beneficiaries, quite irrelevant so long as personal
consumption of the entire surplus value is assumed, only becomes acute
on the assumption of enlarged reproduction.
All these 'imaginary difficulties' vanish, thanks to two discoveries of
Marx's which his Russian pupils untiringly quote against their
opponents. The first is the fact that, in terms of value, the social
product is composed, not of _v + s_, but of _c + v + s_. Secondly, the
ratio of _c_ to _v_ in this sum continually increases with the progress
of capitalist production, and at the same time, the capitalised part of
the surplus value as against that part of it that is consumed, is ever
growing. On this basis, Bulgakov establishes a complete theory of the
relations between production and consumption in a capitalist society. As
this theory plays such an important part for the Russian Marxists in
general, and Bulgakov in particular, it will be necessary to get better
acquainted with it.
Public-domain text, read in full here on John Shaqi.
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