"I have pointed out that the real source of the superiority of Marxian economics is in the field of explaining and anticipating a process of economic evolution. It is not the specific economic concepts used by Marx, but the definite specification of the institutional framework in which the economic process goes on in capitalist society that makes it possible to establish a theory of economic evolution different from mere historical description. Most orthodox Marxists, however, believe that their superiority in understanding the evolution of Capitalism is due to the economic concepts with which Marx worked, i.e. to his using the labour theory of value. They think that the abandonment of the classical labour theory of value in favour of the theory of marginal utility is responsible for the failure of "bourgeois" economics to explain the fundamental phenomena of capitalist evolution. That they are wrong can be easily shown by considering the economic meaning of the labour theory of value. It is nothing but a static theory of general economic equilibrium. In an individualistic exchange economy, based on division of labour, in which there is no central authority to direct which commodities, and in what quantities, are to be produced, the problem is solved automatically by the fact that competition enforces such a distribution of productive resources between the various industries that prices are proportional to the amount of labour necessary for producing the respective commodities (these being the "natural prices" of classical economics)."