Reply #62: One more shot, OK [View All]

You say you've read Wealth of Nations, hopefully then this will make sense to you.

One of the two main attributes that place barter outside of capitalism is cash. In barter, there is no cash exchanged, I trade you a pound of potatoes for a pound of apples. Without cash, trade remains localized. With cash, you can trade long distances. You can also introduce pricing mechanisms into the market with cash.

Secondly, and this is more important, under capitalism, the forces of production, labor, machines, capital, are centralized. I have both the potatoes and apples, and you pay me cash for them. It is this centralization that is the key.

Cash and centralization, get it? If not, go read some more, because you obviously aren't understanding what you're reading if you think barter is capitalism.

One more thing, under capitalism you have that thing called profit. Under the barter system you don't. Don't try telling me that if you get two pounds of potatoes for one pound of apples then you're getting a profit. If you do, you're making one of two logical errors. You're either trying to compare apples and potatoes, or worse, you're simply turning potatoes into some form of cash.

Have a good one:hi: