Theories of Surplus Value, Part II, Chapter 13 - Part 10

Marx examines two kinds of improvements described by Ricardo, and their effects. The first involves improvements that raise the productivity of the land, the second involves improvements in the capital used on the land, or a reduction in its value. The first type of improvement involves the introduction of new methods of crop rotation, use of fertilisers, introduction of drainage and so on. In these cases, Ricardo says rent must fall.

““If, for example, the successive portions of capital yielded 100, 90, 80, 70; whilst I employed these four portions, my rent would be 60, or the difference between

70 and 100 = 30	whilst the produce would be	100
70 and 90 = 20		90
70 and 80 = 10		80
		70
60		340

and while I employed these portions, the rent would remain the same, although the produce of each should have an equal augmentation.”( p 322-3)

But, Marx comments, had the improvements led to unequal rises in fertility, the consequence could still be a rise in rent, because the total surplus profit might rise, where fertility rises more on the better quality soils.

Ricardo continues,

““If, instead of 100, 90, 80, 70, the produce should be increased to 125, 115, 105, 95, the rent would still be 60, or the difference between

70 and 100 = 30	whilst the produce would be	100
70 and 90 = 20		90
70 and 80 = 10		80
		70
60		340

“But with such an increase of produce, without an increase of demand, there could be no motive for employing so much capital on the land; one portion would be withdrawn, and consequently the last portion of capital would yield 105 instead of 95, and rent would fall to 30, or the difference between

105 and 125 = 20	whilst the produce will be still adequate to the wants of the population, for it would be 345 quarters …	125
105 and 115 = 10		115
		105
30		345”

(l.c., pp. 71-72).” (p 323)

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