This chapter is about one of the more important features of Capitalism, Capital circulation. Earlier we saw the formula C-M-C and it can basically be reduced to C-C, that is the main goal, use-value and that is how the owner of the original commodity views it.

Capital starts out as money, money is only Capital when it is in circulation, when it is out of circulation it is a hoard which we discussed earlier and saw why hoards are necessary under Capitalism.

Whereas C-M-C was selling in order to buy, M-C-M is buying in order to sell. The end goal for M-C-M can be reduced to M-M, exchange-value is the goal for this cycle. But it would certainly be a foolish miser to turn money into the same quantity of money, so this equation is more properly written as M-C-M (money prime). Marx gives us a definition that M minus M' is surplus value, the amount of money gained from that circulation of Capital. Since money is the start, and money is the end, the series of circulation is interminable, it has no limits. Draw this back to how exchange-value is derived from use-value and we have limitless things based on top of things that have limits. We can see how this will cause problems of course.

Going back to the miser statement. Marx says that the miser is the mad Capitalist and the Capitalist is the rational miser. Marx says that Capitalists are merely personification of the M-C-M' cycle of accumulation. They do what the cycle demands in order to maximise M', this goes back to fetishism where we have no control over the market, it controls us.

Marx ends by saying that M-C-M' is only a general formula, there are specific exceptions like interest collected on loans.