Abstract
This chapter discusses the concept of exchange economies. A Marxist who believes that the production and the control of the means of production are the essential features of an economy regards whole approach as aberrant and views this separation into production and exchange activities as unacceptable. It has been observed that exchange does seem to be an important activity in most economies, whether production does take place. A commodity is anything that may be used or consumed. It may be a physical good such as bread or a service such as the use of some object. An economic agent has a rather limited character. His features are simply that he possesses a commodity bundle, his initial resources, and is supposed to make choices. His choices are based on his preferences that extend over a subset of the commodity space called his consumption set.
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