Volume II
The Process of
Edited by Frederick Engels
Book II :
Circulation of Capital
PROGRESS PUBLISHERS
M o s c o w
TRANSLATED FROM THE GERMAN
EDITED BY THE LATE I. LASKER
First published 1956
Second printing 1957
Third printing 1962
Fouth printing 1967
Fifth printing 19771
Sixth printing 1974
PUBLISHERS' NOTE
   
The second volume of Capital was put in shape and finally edited by Frederick Engels after the death of Karl Marx. The first German edition of it appeared in 1885.
   
The second German edition, that of 1893, was likewise prepared by Engels.
   
The present English edition follows the German 1893 edition carefully checked with the manuscript edited by Engels and now preserved at the Institute of Marxism-Leninism under the C.C., C.P.S.U. The few misprints and inaccuracies in the text, in figures and bibliographical data discovered in the 1893 edition, have been corrected.
   
The book included Engels's Prefaces to the first and second German editions of Capital, Volume II, and is provided with bibliographical, name, and subject indexes.
   
All quotations from English and American authors have been checked with the original sources.
   
An effort has been made to preserve in this volume the terminology elaborated in the Engels-authorised English translation of the first volume of Capital.
   
Extensive use has been made of the English translation of the second volume of Capital published by Charles H. Kerr & Co., Chicago, 1919.
   
All quotaions from the English text of the first volume of Capital refer to the publication: Karl Marx, Capital, Volume I, Foreign Languages Publishing House, Moscow, 1954.
Page
Preface
. . . . . . . .
. . . . . . . .
. . . . . . 1
THE PROCESS OF CIRCULATION OF CAPITAL
THE METAMORPHOSES OF CAPITAL AND THEIR CIRCUITS
CHAPTER I.
The Circuit of Money-Capital .
. . . . . . . .
25
I.
First Stage. M -- C . .
. . . . . . .
. . . . . . .
26
CHAPTER II.
The Circuit of Productive Capital.
. . . . . .
65
I.
Simple Reproduction . .
. . . . . . .
. . . . . .
66
CHAPTER III.
The Circuit of Commodity-Capital .
. . . . .
89
CHAPTER IV.
The Three Formulas of the Circuit .
. . . . . 103 Natural, Money and Credit Economy . . .
. . . . . . . .
---
CHAPTER V.
The Time of Circulation . .
. . . . . . . .
124
CHAPTER VI.
The Costs of Circulation . .
. . . . . . . .
132
I. Genuine Costs of Circulation .
. . . . .
. . . . .
132
THE TURNOVER OF CAPITAL
CHAPTER VII.
The Turnover Time and the Number of Turnovers
156
CHAPTER VIII.
Fixed Capital and Circulating Capital .
. . .
160
I.
Distinctions of Form
. . . . . . .
. . . . . . .
160
CHAPTER IX.
The Aggregate Turnover of Advanced Capital.
CHAPTER X.
Theories of Fixed and Circulating Capital. The
CHAPTER XI.
Theories of Fixed and Circulating Capital.
Ricardo
219
CHAPTER XII.
The Working Period
. . . . . . .
. . . . .
232
CHAPTER XIII.
The Time of Production
. . . . .
. . . . .
242
CHAPTER XIV.
The Time of Circulation
. . . . .
. . . . .
252
CHAPTER XV.
Effect of the Time of Turnover on the Magnitude
I.
The Working Period Equal to the Circulation Period
. .
270
CHAPTER XVI.
The Turnover of Variable Capital.
. . . . . .
297
I.
The Annual Rate of Surplus-Value.
. . . . .
. . . .
297
CHAPTER XVII.
The Circulation of Surplus-Value .
. . . . .
323
I. Simple Reproduction .
. . . . .
. . . . .
. . . .
329
THE REPRODUCTION AND CIRCULATION OF THE AGGREGATE
CHAPTER XVIII.
Introduction.
. . . . . . . .
. . . . . .
355
I.
The Subject Investigated .
. . . . . . . .
. . . . .
355
CHAPTER XIX.
Former Presentations of the Subject .
. . . .
363
I.
The Physiocrats .
. . . . . . .
. . . . . . .
. . .
363
CHAPTER XX.
Simple Reproduction .
. . . . . .
. . . . .
396
I.
The Formulation of the Question
. . . . . .
. . . .
396
CHAPTER XXI.
Accumulation and Reproduction on an Extended
I. Accumulation in Department I .
. . . . . .
. . . . . 496
Name Index (not available -- DJR)
529
Index of Authorities Quoted in Capital, Vol. II
(not available -- DJR)
531
Subject Index .
. . . . . . .
. . . . . . . .
. . . . .
535
C O N T E N T S
II.
III.
IV.
Second Stage. Function of Productive Capital .
. . . .
Third Stage. C' -- M' .
. . . . . . .
. . . . . . .
The Circuit as a Whole .
. . . . . . .
. . . . . .
34
38
48
II.
III.
IV.
Accumulation and Reproduction on an Extended Scale . .
Accumulation of Money . .
. . . . . .
. . . . . .
Reserve Fund .
. . . . . . .
. . . . . . . .
. .
80
84
86
The Meeting of Supply and Demand . . .
. . . . . . . .
---
II.
III.
1. The Time of Purchase and Sale . .
. . . .
. . . .
2. Book-Keeping . . .
. . . . . . .
. . . . . . .
3. Money . .
. . . . . . .
. . . . . .
. . . . .
Costs of Storage . .
. . . . . . .
. . . . . . .
1. Formation of Supply in General . .
. . . . . . .
2. The Commodity-Supply Proper . .
. . . . . . . .
Costs of Transportation . .
. . . . .
. . . . . .
132
136
138
139
140
146
152
II.
Components, Replacement, Repair, and Accumulation
of Fixed Capital
. . . . . . . .
. . . . . . . .
172
Cycles of Turnover .
. . . . . . . .
. . . . . .
186
Physiocrats and Adam Smith .
. . . . .
. . . . .
193
of Advanced Capital .
. . . . . . . .
. . . . . .
261
II.
III.
IV.
V.
The Working Period Greater Than the Period of Circula-
tion .
. . . . . . .
. . . . . . . .
. . . . . .
The Working Period Smaller Than the Circulation Period
Conclusions .
. . . . . . . .
. . . . . . . .
. .
The Effect of a Change of Prices
. . . . . . . .
. .
274
279
283
289
II.
III.
The Turnover of the Individual Variable Capital
. . .
The Turnover of the Variable Capital from the Social
Point of View .
. . . . . .
. . . . . .
. . . . .
312
316
II.
Accumulation and Reproduction on an Extended Scale .
.
348
SOCIAL CAPITAL
II.
The Role of Money-Capital .
. . . . . . .
. . . . . .
358
II.
III.
Adam Smith.
. . . . . . .
. . . . . . .
. . . . .
1. Smith's General Points of View.
. . . . .
. . . . .
2. Adam Smith Resolves Exchange-Value into v+s .
. . .
3. The Constant Part of Capital.
. . . . . .
. . . . .
4. Capital and Revenue in Adam Smith .
. . . . .
. . .
5. Recapitulations .
. . . . . .
. . . . .
. . . . .
Later Economists
. . . . . .
. . . . . .
. . . . .
366
366
374
377
382
389
393
II.
III.
IV.
V.
VI.
VII.
VIII.
IX.
X.
XI.
XII.
XIII.
The Two Departments of Social Production .
. . . .
. .
Exchange Between the Two Departments I(v+s)
versus IIc .
Exchange within Department II. Necessities of Life and
Articles of Luxury .
. . . . . .
. . . . .
. . . . .
The Mediation of Exchange by the Circulation of Money .
.
The Constant Capital of Department I .
. . . . .
. . .
Variable Capital and Surplus-Value in Both Departments .
The Constant Capital in Both Departments .
. . .
. . .
A Retrospect to Adam Smith, Storch, and Ramsay .
. . .
Capital and Revenue: Variable Capital and Wages .
. . .
Replacement of the Fixed Capital . .
. . . . .
. . . .
1. Replacement of the Wear and Tear Portion of the Value
in the Form of Money .
. . . . . .
. . . . .
. . .
2. Replacement of Fixed Capital in Kind .
. . . .
. . .
3. Results .
. . . . . .
. . . . . .
. . . . .
. .
The Reproduction of the Money Material .
. . . .
. . .
Destutt de Tracy's Theory of Reproduction .
. . .
. . .
399
402
406
415
426
429
433
437
441
453
457
462
471
473
484
Scale .
. . . . . . . .
. . . . . . .
. . . . . .
493
II.
III.
IV.
1. The Formation of a Hoard .
. . . . . .
. . . . . .
2. The Additional Constant Capital
. . . . .
. . . . .
3. The Additional Variable Capital
. . . . .
. . . . .
Accumulation in Department II .
. . . . . .
. . . . .
Schematic Presentation of Accumulation . .
. . . .
. .
1. First Illustration.
. . . . . .
. . . . . .
. . . .
2. Second Illustration.
. . . . . .
. . . . . .
. . .
3. Replacement of IIc in Accumulation .
. . . .
. . . .
Supplimentry Remarks
. . . . .
. . . . .
. . . . .
496
500
505
506
510
514
518
523
526