1. Marx (and Engels!) LSJ 362 Fall 2007

2. Karl Marx (1818- 1883) Lived at time of great social transformations in Europe Active in 1840’s political movement for expansion of democratic liberties in Germany  forced to leave Germany  went to France  forced to leave France after revolutionary fervor of 1848  wound up in London in 1851

3. Friedrich Engels (1820- 1895) Marx’s chief moral, financial, intellectual, and emotional collaborator Son of a mill owner in Manchester (heart of industrial revolution) Had 2 things Marx lacked: money at times, superior understanding of what working class life was really like

4. An overview of marxism Marx and Engels writing at time of industrial revolution, transitions away from feudal past Marx and Engels writing at time of industrial revolution, transitions away from feudal past To understand Marx, must understand the transitions he lived and predicted: feudalism  capitalism  communism To understand Marx, must understand the transitions he lived and predicted: feudalism  capitalism  communism Marx talks about these systems as “modes of production” ( a system by which society determines who does what and who gets what) Marx talks about these systems as “modes of production” ( a system by which society determines who does what and who gets what)

5. What is the feudal mode of production? Two classes: lords and serfs Two classes: lords and serfs Lords control means of production (land); serfs labor to produce agricultural products Lords control means of production (land); serfs labor to produce agricultural products Serfs bound to land, not free Serfs bound to land, not free Serfs not paid in wages, merely allowed to subsist on lord’s land in exchange for tribute of product (crops), labor, or money Serfs not paid in wages, merely allowed to subsist on lord’s land in exchange for tribute of product (crops), labor, or money

6. What is the feudal mode of production? MON Work for subsisten ce TUES WEDS THURS FRI Work for lord SAT SURPLUS LABOR Serfs work land a certain number of days for own subsistence, and a certain number of days for lord; lord lives off serfs’ surplus labor

7. What is the feudal mode of production? Under feudalism, surplus labor generated by serf and given to lord is visible Under feudalism, surplus labor generated by serf and given to lord is visible

8. What is the capitalist mode of production? Two classes: bourgeoisie (capitalists) and proletariat (workers) Two classes: bourgeoisie (capitalists) and proletariat (workers) Bourgeoisie controls means of production (factories); proletariat works in factories for wages Bourgeoisie controls means of production (factories); proletariat works in factories for wages Workers free to work for different employers Workers free to work for different employers The value of the worker’s labor (what s/he produces) is greater than the value of his wages (what s/he is paid); this is the capitalist’s profit The value of the worker’s labor (what s/he produces) is greater than the value of his wages (what s/he is paid); this is the capitalist’s profit

9. What is the capitalist mode of production? For example, if you work at McDonalds: For example, if you work at McDonalds: You make $50/day You make $50/day You use $100 worth of raw ingredients and overhead You use $100 worth of raw ingredients and overhead You make $300 worth of burgers You make $300 worth of burgers The owner is paying you $50, but your labor turned $100 of materials into $300 of sales The owner is paying you $50, but your labor turned $100 of materials into $300 of sales So the owner (capitalist) extracted $150 of profit or ‘surplus value’ from your labor So the owner (capitalist) extracted $150 of profit or ‘surplus value’ from your labor

10. How is this vision different from Adam Smith’s? 1. Questioned the narrative of capitalist “progress” – were people really better off than in the past? Smith (and many others) had predicted that industrialization  universal opulence and greater human freedom Smith (and many others) had predicted that industrialization  universal opulence and greater human freedom By contrast, Marx and Engels saw industrialization giving rise to universal squalor, except for a small minority By contrast, Marx and Engels saw industrialization giving rise to universal squalor, except for a small minority Marx and Engels also questioned whether workers were really “free”: could change employers, but were forced to work for a wage in order to survive; not slaves to individual masters, but slaves to the capitalist system Marx and Engels also questioned whether workers were really “free”: could change employers, but were forced to work for a wage in order to survive; not slaves to individual masters, but slaves to the capitalist system

11. How is this vision different from Adam Smith’s? 2. Said capitalism based on theft, not mutually beneficial exchange Under capitalism, Marx and Engels said, surplus labor is invisible, because worker never knows exact value of his/her labor, works for hourly wage but cannot tell how much of his/her labor is really unpaid Under capitalism, Marx and Engels said, surplus labor is invisible, because worker never knows exact value of his/her labor, works for hourly wage but cannot tell how much of his/her labor is really unpaid The capitalist system is inherently exploitative of workers, because capitalists will always seek greater profit by squeezing more and more surplus labor out of workers  ever-increasing exploitation The capitalist system is inherently exploitative of workers, because capitalists will always seek greater profit by squeezing more and more surplus labor out of workers  ever-increasing exploitation

12. How is this vision different from Adam Smith’s? 3. Agreed that in capitalism, markets bound to expand, but thought this would eventually lead to its downfall the capitalist system sows the seeds of its own destruction (Communist Manifesto) the capitalist system sows the seeds of its own destruction (Communist Manifesto)

13. Key concepts in Marxism: historical materialism Hegel said humans uniquely able to reason and reflect, and over time the unfolding of the human spirit was leading to ever-greater development of human consciousness Hegel said humans uniquely able to reason and reflect, and over time the unfolding of the human spirit was leading to ever-greater development of human consciousness Marx, Engels criticized this celebration of ideas unmatched by real, material changes Marx, Engels criticized this celebration of ideas unmatched by real, material changes

14. Key concepts in Marxism: historical materialism “The materialist conception of history starts from the proposition that the production of the means to support human life and, next to production, the exchange of things produced, is the basis of all social structure; that in every society that has appeared in history, the manner in which wealth is distributed and society divided into classes or orders is dependent upon what is produced, how it is produced, and how the products are exchanged. From this point of view, the final causes of all social changes and political revolutions are to be sought, not in men's brains, not in men's better insights into eternal truth and justice, but in changes in the modes of production and exchange.” From Socialism: Utopian and Scientific (written entirely by Engels after Marx’s death) “The materialist conception of history starts from the proposition that the production of the means to support human life and, next to production, the exchange of things produced, is the basis of all social structure; that in every society that has appeared in history, the manner in which wealth is distributed and society divided into classes or orders is dependent upon what is produced, how it is produced, and how the products are exchanged. From this point of view, the final causes of all social changes and political revolutions are to be sought, not in men's brains, not in men's better insights into eternal truth and justice, but in changes in the modes of production and exchange.” From Socialism: Utopian and Scientific (written entirely by Engels after Marx’s death)

15. Key concepts in Marxism: historical materialism Ideas always reflect a material basis Ideas always reflect a material basis For Marx and Engels, ideology is an illusory set of ideas which dominate in society For Marx and Engels, ideology is an illusory set of ideas which dominate in society For example: German ideology: illusory notion that ideas make history, historical change is propelled by new ideas For example: German ideology: illusory notion that ideas make history, historical change is propelled by new ideas

16. Key concepts in Marxism: historical materialism Another way this concept is expressed is through notion of base and superstructure Another way this concept is expressed is through notion of base and superstructure Social reality is grounded in an economic base (who does what, who gets what); built upon this is a legal and political superstructure. This superstructure reflects the realities of the base Social reality is grounded in an economic base (who does what, who gets what); built upon this is a legal and political superstructure. This superstructure reflects the realities of the base

17. Key concepts in Marxism: commodity fetishism In capitalist societies, exchange of commodities is an abstraction, concealing the social relationships behind it In capitalist societies, exchange of commodities is an abstraction, concealing the social relationships behind it Decisions appear to be made by the market, rather than by society Decisions appear to be made by the market, rather than by society Commodities and markets seem to take on lives of their own Commodities and markets seem to take on lives of their own