Misplaced Pages

#330669

36-422: A bushel (abbreviation: bsh. or bu. ) is an imperial and US customary unit of volume based upon an earlier measure of dry capacity . The old bushel is equal to 2 kennings (obsolete), 4 pecks , or 8 dry gallons , and was used mostly for agricultural products, such as wheat . In modern usage, the volume is nominal, with bushels denoting a mass defined differently for each commodity. The name "bushel"

72-432: A 50 mg tablet of calcium is of equal value to a consumer no matter what company produces and markets it, and as such, multivitamins are now sold in bulk and are available at any supermarket with little brand differentiation. Following this trend, nanomaterials are emerging from carrying premium profit margins for market participants to a status of commodification. There is a spectrum of commoditization, rather than

108-408: A binary distinction of "commodity versus differentiable product". Few products have complete undifferentiability and hence fungibility; even electricity can be differentiated in the market based on its method of generation (e.g., fossil fuel, wind, solar), in markets where energy choice lets a buyer opt (and pay more) for renewable methods if desired. Many products' degree of commoditization depends on

144-827: A commodity good is typically determined as a function of its market as a whole: well-established physical commodities have actively traded spot and derivative markets. The wide availability of commodities typically leads to smaller profit margins and diminishes the importance of factors (such as brand name ) other than price. Most commodities are raw materials , basic resources, agricultural , or mining products, such as iron ore , sugar , or grains like rice and wheat . Commodities can also be mass-produced unspecialized products such as chemicals and computer memory . Popular commodities include crude oil , corn , gold and Bitcoin . Other definitions of commodity include something useful or valued and an alternative term for an economic good or service available for purchase in

180-649: A commodity is an object or a good or service ("product" or "activity" ) produced by human labour . Objects are external to man. However, some objects attain " use value " to persons in this world, when they are found to be "necessary, useful or pleasant in life". "Use value" makes an object "an object of human wants", or "a means of subsistence in the widest sense". As society developed, people found that they could trade goods and services for other goods and services. At this stage, these goods and services became "commodities". According to Marx, commodities are defined as objects which are offered for sale or are "exchanged in

216-476: A decade, where commodities as a whole trade at a price that is greater than their long term moving average . A Super Cycle will usually occur when there is large industrial and commercial change in a country or world that requires more resources to support the change. As prices rise, goods and services that rely on commodities rise with them. There have been four super cycles over the last 120 years worldwide. The first commodity super cycle started in late 1890 and

252-438: A market". In the marketplace, where commodities are sold, "use value" is not helpful in facilitating the sale of commodities. Accordingly, in addition to having use value, commodities must have an "exchange value"—a value that could be expressed in the market. Prior to Marx, many economists debated as to what elements made up exchange value. Adam Smith maintained that exchange value was made up of rent , profit , labour and

288-531: A standard weight to each commodity that is to be measured in bushels. These bushels depend on the commodities being measured, and on the moisture content of the commodity. Some of the more common ones are: Other specific values are defined (and those definitions may vary within different jurisdictions, including from state to state in the United States) for other grains, oilseeds, fruits, vegetables, coal, hair and many other commodities. Government policy in

324-423: Is a list of companies trading globally in commodities, descending by size as of October 28, 2011. In the original and simplified sense, commodities were things of value, of uniform quality, that were produced in large quantities by many different producers; the items from each different producer were considered equivalent. On a commodity exchange, it is the underlying standard stated in the contract that defines

360-488: Is also used to translate similar units in other measurement systems. The word "bushel" as originally used for a container itself, and later a unit of measurement. The name comes from the Old French boissiel and buissiel , meaning "little box". It may further derive from Old French boise , thus meaning "little butt ". The bushel is an intermediate value between the pound and ton or tun that

396-416: Is an instrument of labour"), even though they may not be produced specifically for the market, or be non-reproducible goods. Marx's analysis of the commodity is intended to help solve the problem of what establishes the economic value of goods, using the labour theory of value . This problem was extensively debated by Adam Smith , David Ricardo and Karl Rodbertus-Jagetzow among others. All three of

SECTION 10

#1732772319331

432-497: Is the volume of a cylinder 18.5 in (470 mm) in diameter and 8 in (200 mm) high, which gives an irrational number of approximately 2150.4202 cubic inches. The modern American or US bushel is a variant of this, rounded to exactly 2150.42 cubic inches, less than one part per ten million less. It is also somewhat in use in Canada . In English use, a Bushel was a willow basket with fixed dimensions. The basket

468-577: The brand , the user interface and the perceived quality. The demand for one type of stereo may be much larger than demand for another. The price of a commodity good is typically determined as a function of its market as a whole. Well-established physical commodities have actively traded spot and derivative markets. Soft commodities are goods that are grown, such as wheat , or rice . Hard commodities are mined . Examples include gold , silver , helium , oil , and Bitcoin . Energy commodities include electricity, gas, coal and oil. Electricity has

504-471: The Latin commoditas , meaning "suitability, convenience, advantage". The Latin word commodus (from which English gets other words including commodious and accommodate ) meant variously "appropriate", "proper measure, time, or condition", and "advantage, benefit". In economics, the term commodity is used specifically for economic goods that have full or partial but substantial fungibility ; that is,

540-627: The London bushel in terms of the larger corn gallon . In either case, a London bushel was reckoned to contain 64 pounds, 12  ounces , 20  pennyweight , and 32  grains . These measures were based on the relatively light tower pound and were rarely used in Scotland , Ireland , or Wales during the Middle Ages . When the Tower system was abolished in the 16th century, the bushel

576-693: The United States is to phase out units such as the bushel and replace them with metric mass equivalents. The German bushel is the Scheffel . A Prussian scheffel was equal to 54.96 litres. The Polish bushel ( korzec ) was used as measure of dry capacity . It is divided into 4 quarters ( ćwierć ) and in the early 19th century had a value of 128 litres in Warsaw and 501.116 litres in Kraków . The Spanish bushel ( fanega )

612-422: The above-mentioned economists rejected the theory that labour composed 100% of the exchange value of any commodity. In varying degrees, these economists turned to supply and demand to establish the price of commodities. Marx held that the "price" and the "value" of a commodity were not synonymous. Price of any commodity would vary according to the imbalance of supply to demand at any one period of time. The "value" of

648-408: The basket was made 13 inches high, but with a ring of "waling" (a special willow weaving technique) to mark the 12 inches height. Bushels are now most often used as units of mass or weight rather than of volume. The bushels in which grains are bought and sold on commodity markets or at local grain elevators , and for reports of grain production, are all units of weight. This is done by assigning

684-639: The buyer's mentality and means. For example, milk, eggs, and notebook paper are not differentiated by many customers; for them, the product is fungible and lowest price is the main decisive factor in the purchasing choice. Other customers take into consideration other factors besides price, such as environmental sustainability and animal welfare. To these customers, distinctions such as " organic versus not" or " cage free versus not" count toward differentiating brands of milk or eggs, and percentage of recycled content or Forest Stewardship Council certification count toward differentiating brands of notebook paper. This

720-443: The commodity markets through a commodity price index . In order to diversify their investments and mitigate the risks associated with inflationary debasement of currencies, pension funds and sovereign wealth funds allocate capital to non-listed assets such as a commodities and commodity-related infrastructure. The inventory of commodities, with low inventories typically leading to more volatile future prices and increasing

756-404: The commodity, not any quality inherent in a specific producer's product. Commodities exchanges include: Markets for trading commodities can be very efficient , particularly if the division into pools matches demand segments . These markets will quickly respond to changes in supply and demand to find an equilibrium price and quantity. In addition, investors can gain passive exposure to

SECTION 20

#1732772319331

792-399: The costs of wear and tear on the instruments of husbandry. David Ricardo , a follower of Adam Smith, modified Smith's approach on this point by alleging that labour alone is the content of the exchange value of any good or service. While maintaining that all exchange value in commodities was derived directly from the hands of the people that made the commodity, Ricardo noted that only part of

828-593: The early 70s. In the 1970s as world economies grew they needed more materials and energy to support expansion leading to increases in prices across the board. This boom came to an end as foreign investments fled as extractive industries became nationalized. The most recent of commodity super cycles began in 2000 as China joined the World Trade Organization . China was also in the beginning of their boom as industry and expansion took off. Workers moved into cities as emerging industries took off and offered

864-451: The exchange value of the commodity was paid to the worker who made the commodity. The other part of the value of this particular commodity was labour that was not paid to the worker—unpaid labour. This unpaid labour was retained by the owner of the means of production. In capitalist society, the capitalist owns the means of production and therefore the unpaid labour is retained by the capitalist as rent or as profit. The means of production means

900-503: The market treats their instances as equivalent or nearly so with no regard to who produced them. Karl Marx described this property as follows: "From the taste of wheat , it is not possible to tell who produced it, a Russian serf , a French peasant or an English capitalist ." Petroleum and copper are examples of commodity goods: their supply and demand are a part of one universal market. Non-commodity items such as stereo systems have many aspects of product differentiation , such as

936-510: The market. In such standard works as Alfred Marshall 's Principles of Economics (1920) and Léon Walras 's Elements of Pure Economics ([1926] 1954) 'commodity' serves as general term for an economic good or service. The word commodity came into use in English in the 15th century, from the French commodité , "amenity, convenience". Going further back, the French word derives from

972-664: The particular characteristic that it is usually uneconomical to store, and must therefore be consumed as soon as it is produced. Commoditization occurs as a goods or services market loses differentiation across its supply base, often by the diffusion of the intellectual capital necessary to acquire or produce it efficiently. As such, goods that formerly carried premium margins for market participants have become commodities, such as generic pharmaceuticals and DRAM chips . An article in The New York Times cites multivitamin supplements as an example of commoditization;

1008-589: The risk of a " stockout " (inventory exhaustion). According to economist theorists, companies receive a convenience yield by holding inventories of certain commodities. Data on inventories of commodities are not available from one common source, although data is available from various sources. Inventory data on 31 commodities was used in a 2006 study on the relationship between inventories and commodity futures risk premiums. In classical political economy and especially in Karl Marx 's critique of political economy ,

1044-455: The same commodity produced by the skilled worker. Marx pointed out, however, that in society at large, an average amount of time that was necessary to produce the commodity would arise. This average time necessary to produce the commodity Marx called the "socially necessary labour time". Socially necessary labour time was the proper basis on which to base the "exchange value" of a given commodity. Commodity Super Cycles are periods of time, around

1080-467: The same commodity would be consistent and would reflect the amount of labour value used to produce that commodity. Prior to Marx, economists noted that the problem with using the "quantity of labour" to establish the value of commodities was that the time spent by an unskilled worker would be longer than the time spent on the same commodity by a skilled worker. Thus, under this analysis, the commodity produced by an unskilled worker would be more valuable than

1116-415: The site where the commodity is made, the raw products that are used in the production and the instruments or machines that are used for the production of the commodity. However, not all commodities are reproducible nor were all commodities originally intended to be sold in the market. These priced goods are also treated as commodities, e.g. human labour-power, works of art and natural resources ("earth itself

Bushel - Misplaced Pages Continue

1152-564: Was accelerated on the back of widespread U.S. industrialization and World War 1. In 1917 commodity prices peaked and then entered a downtrend to the 1930s. As war erupted in Europe in the late 1930s and eventually including the U.S. the world saw a new cycle begin. Countries were not just preparing for war but also the Aftermath of World War II as lots of Europe and Asia faced heavy rebuilding. This cycle eventually peaked in 1951 and faded away in

1188-540: Was introduced to England following the Norman Conquest . Norman statutes made the London ;bushel part of the legal measure of English wine , ale , and grains . The Assize of Bread and Ale credited to Henry III , c.  1266 , defined this bushel in terms of the wine gallon , while the c.  1300 Assize of Weights and Measures usually credited to Edward I or II defined

1224-562: Was redefined as 56  avoirdupois pounds . The imperial  bushel established by the Weights and Measures Act of 1824 described the bushel as the volume of 80  avoirdupois pounds of distilled water in air at 62 °F (17 °C) or 8 imperial gallons. This is the bushel in some use in the United Kingdom . Thus, there is no distinction between liquid and dry measure in the imperial system. The Winchester bushel

1260-442: Was round. Its inside measurements were: Base diameter 12 inches, top diameter 18 inches, height 12 inches. A basket filled level to the top was a bushel. A basket filled to the top but overfilled to a height where it overflowed was considered to be a bushel and a peck, a generous measure (a similar concept to a baker's dozen). Hence, the old song " I love you, a bushel and a peck...." meant "I am overflowing with love for you". Sometimes

1296-747: Was used as a measure of dry capacity. It is roughly equal to 55.5 litres in Castille . The Welsh hobbit was equivalent to two-and-a-half bushels when used for volume; when used for measuring weight the hobbit was dependent on the grain being weighed. Imperial unit Too Many Requests If you report this error to the Wikimedia System Administrators, please include the details below. Request from 172.68.168.133 via cp1102 cp1102, Varnish XID 540732801 Upstream caches: cp1102 int Error: 429, Too Many Requests at Thu, 28 Nov 2024 05:38:39 GMT Commodity The price of

#330669