Value and price: an extract

Value and Price is an extract from the Positive Theory. It builds a framework for market economics, for it is through value and price that the people give purpose and aim to the production process. Regardless of their motivation, whether material or ideal, noble or base, the people judge goods and services according to suitability for the desired objectives. People ascribe value to consumer goods and thus determine prices; according to Von Bohm-Bawerk irrefutable "imputation theory," they also indirectly determine the prices of all factors of production, and the income of every member of the market economy. An important basic text for every student of economics.