Soci250 – Sociological TheoryModule 3 – Karl Marx I – Old Marx

François Nielsen

University of North CarolinaChapel Hill

Spring 2007

Outline

Main Themes

Life & Major Influences

Old & Young Marx

Old MarxCommunist ManifestoCritique of Political EconomyCapital

Discussion Points

Main Themes

É distinction betweenÉ philosophy-oriented younger MarxÉ economics- & sociology-oriented older Marx

É main themes of work already present in Communist ManifestoÉ goal of older Marx is to derive scientific demonstration of

scenario of capitalist evolution

Karl Marx (1818–1883)Life & Major Influences

É born Trier, Rhineland(Catholic region of Prussia)

É family:É intellectual liberal JewishÉ father successful lawyerÉ descendant of rabbisÉ converts to Lutheranism

(Prussia’s official religion)to continue practicing law

É 1835 U. of Bonn to studyLaw

É joins Trier Tavern Clubdrinking society

Karl Marx (1818–1883)Life & Major Influences

É 1836 Friedrich-Wilhelm U.,Berlin

É joins Young HegeliansÉ 1841 PhD in Philosophy, U.

of JenaÉ dissertation The Difference

Between the Democriteanand Epicurean Philosophyof Nature

É marries Jenny vonWestphalen, daughter ofGerman baron

É 6 children, only 3 survive

Karl Marx (1818–1883)Life & Influences

É 1843 move to Paris:É meets Friedrich EngelsÉ becomes communistÉ reads work of ProudhonÉ write The Jewish Question

É 1845 Marx & Engels move to Brussels, Belgium, and thenbetween Brussels, Paris & GermanyÉ 1847 The Poverty of Philosophy, a critique of ProudhonÉ 1848 The Communist Manifesto, platform of the Communist

League

É 1848 revolution in France

Karl Marx (1818–1883)Life & Major Influences

É Friedrich Engels in 1856

Karl Marx (1818–1883)Life & Influences

É 1849 Marx & Engels move to London:É Marx supported by Engels (revenue from family industrial

business)É 1864 First International (International Workingmen’s

Association 1864–1876)É 1867 Capital, volume IÉ 1881 Jenny diesÉ 1883 Karl diesÉ buried in Highgate CemetaryÉ complete works not published until 1931

Karl Marx (1818–1883)Old & Young Marx

Marx’s work traditionally divided into two periods: younger &older. “Young Marx” (1841 to 1847 or 1848):É writings are mostly philosophicalÉ main works include:

É Holy FamilyÉ Poverty of PhilosophyÉ Economic & Philosophical Manuscripts of 1844É German IdeologyÉ Communist Manifesto (transition to second period)

É several works not published until after Marx’s deathÉ publication of complete works (1931) generated wave of

reinterpretations of Marx in the West

Karl Marx (1818–1883)Old & Young Marx

“Old Marx” (1848 & after):É Marx becomes a sociologist & economistÉ views himself as a scientistÉ main works include:

É Communist Manifesto (transition between younger & olderMarx)

É Contribution to the Critique of Political EconomyÉ Capital

É Raymond Aron notes:É heart of Marxist thought is CapitalÉ in it Marx attempts to scientifically demonstrate inevitable

evolution of capitalismÉ cannot be downplayed, as some reinterpretations emphasizing

younger works do

Karl Marx (1818–1883)Old Marx

Marx late in life

Karl Marx (1818–1883)Old Marx

Raymond Aron (1905–1983)

É Marx’s core ideas:É antagonism between

labor (proletariat) &management (capitalists)key fact of modern(capitalist) society

É antagonism inherent infunctioning of capitalism

É leads to inevitableself-destruction

É implies activism to helpfulfill this prearrangeddestiny

Karl Marx (1818–1883)Old Marx – Communist Manifesto

In Communist Manifesto:É “The history of all hitherto existing society is the history of

class struggles.Ӄ always an oppressor and an oppressed class:

É freemen & slavesÉ patricians & plebeiansÉ artisan masters & journeymenÉ nobles & serfs, etc.

É always a tendency to polarization into 2 groupsÉ in modern (capitalist) society

É means of production improving constantlyÉ relations of production (relation of ownership & distribution of

income) not changing (pauperization & proletarianization)É contradiction will lead to revolutionary crisis

Karl Marx (1818–1883)Old Marx – Communist Manifesto

É during proletarian revolution:É all classes (artisans, petite bourgeoisie, . . . ) will coalesce into

two (bourgeoisie & proletariat)É revolution by the proletariat will sweep away old conditions of

productionÉ thereby sweeping away conditions for the existence of classes

and political powerÉ bringing about the end of classes

É according to Aron, aim of Marx in later works is providing ascientific demonstration of these Manifesto themes:É the antagonistic character of capitalist societyÉ the inevitable destruction of that society caused by the

antagonismÉ the revolutionary explosion that will abolish the antagonism

Karl Marx (1818–1883)Old Marx – Contribution to a Critique of Political Economy

Essential ideas in Contribution to a Critique of Political Economy(long passage cited by Aron pp. 154–156):É 1. men enter into definite relations that are independent of

their will & preferences (thus one can explain historyindependent of individuals’ subjectivity)

É 2. in every society one can distinguishÉ infrastructure = economic base (forces & relations of

production)É superstructure = legal & political institutions & ways of

thinking (ideologies & philosophies)É 3. mechanism of historical change is contradiction (at certain

phases of historical evolution) betweenÉ forces of production (society’s productive capacity as function

of technological knowledge & organization of collective labor)É relations of production (essentially relations of property &

distribution of societal income)

Karl Marx (1818–1883)Old Marx – Contribution to a Critique of Political Economy

É 4. in period of contradictionÉ one (conservative/reactionary) class is attached to old

relationsÉ one (progressive) class favors new relations of production

whichÉ promote optimal growth of forces of productionÉ mark new stage in historical process

É 5. revolution only occurs when conditions are ripe, i.e. forcesof production have sufficiently developed in the womb of oldrelations of production, e.g.É French Revolution when capitalism sufficiently developed

within feudal system

Karl Marx (1818–1883)Old Marx – Contribution to a Critique of Political Economy

É 6. distinction betweenÉ social reality (social relations)É individuals’ consciousness (ways of thinking)

Social reality determines consciousness, not consciousnessreality.

É 7. four stages of human history distinguished by their modesof production

1. ancient (slavery)2. feudal (serfdom)3. bourgeois (wage earning)4. Asiatic (subordination of all workers to the state)

Only first 3 modes have been realized in Western history.(Asiatic mode basis of critique of Soviet society.)

Karl Marx (1818–1883)Old Marx – Capital

Capital:É Volume I published 1867É Volumes II & III

É published posthumouslyÉ assembled by Engels from Marx’s papersÉ incomplete, some passages contradictory

Overall plan of Capital:É Volume I – structure & operation of capitalism

(microeconomic)É Volume II – circulation of capital & theory of crises

(macroeconomic)É Volume III – evolution of the capitalist regime

Karl Marx (1818–1883)Old Marx – Capital

Marx’s approach in Capital:É Marx views himself as scientific economist, heir to British

political economyÉ disagrees with British political economy in believing

É economic laws not universally valid but specific to economicregime

É economic regime cannot be understood apart from its socialstructure (including relations of production)

É “Marx was an economist who wanted to be a sociologist at thesame time” (Aron I p. 162) simultaneously explaining

1. economic functioning of capitalism2. social structure of capitalism (exploitation in regime of private

ownership)3. future of capitalism (how it is doomed by its internal

contradictions to revolutionary destruction)

Karl Marx (1818–1883)Old Marx – Capital

Marx’s theory of exploitation:É value of commodity roughly proportionate to quantity of

average human labor power crystallized in itÉ labor power rented at its value = value of goods needed to

support life of worker & his familyÉ total working day = necessary labor time + surplus labor

time, whereÉ necessary labor time is work needed to produce the value in

goods needed to support worker & his familyÉ surplus labor time is rest of working day

É value of surplus labor time is appropriated by employer, soÉ surplus value is value created in surplus labor timeÉ rate of exploitation is ratio of surplus value to wages paid

Karl Marx (1818–1883)Old Marx – Capital

Issues in Marx’s theory of exploitation:É theory crucial for Marx because

É explains origin of profitÉ lends itself to denunciation of capitalism

É theory of exploitation dependent onÉ historical specificity of economic lawsÉ specific social relation between entrepreneurs/owners &

workers in capitalist society

É recognizes that exchange value also fluctuates with supply &demand, but assumes normal demand

É implies that rate of exploitation can be increased byÉ increasing labor timeÉ reducing necessary labor time = increasing productivity

Karl Marx (1818–1883)Old Marx – Capital

Marx on evolution of capitalism (Volume III):É falling tendency of the rate of profit:

É constant capital (CC) = machines + raw materialsÉ variable capital (VC) = laborÉ total capital (TC) = VC + CCÉ organic composition of capital = relation of VC to CCÉ surplus value is relative to VC (since only labor creates value)É ⇒

É VC↗⇒ surplus value↗É VC↘⇒ surplus value↘É mechanization↗⇒ surplus value↘

É ⇒ surplus value should decline as mechanization increases

É But in reality firms with more CC make more profit, not less!

Karl Marx (1818–1883)Old Marx – Capital

Marx’s answer:É rate of profit 6= rate of exploitation:

É rate of exploitation proportional to VCÉ rate of profit proportional to total capital (VC + CC)

É otherwise capitalism could not function, becauseÉ organic composition (proportion VC) varies by sectorÉ ⇒ rate of profit would vary by sector

É But: why mode of profit 6= mode of surplus value?É mainstream economics: surplus value theory is simply falseÉ Marx:

É in capitalist economy competition causes surplus value to bereplaced by an average rate of profit

É ⇒ “falling tendency of the rate of profit”

Karl Marx (1818–1883)Old Marx – Capital

Reasons for inevitable self-destruction of capitalism?É Capital only discusses falling rate of profitÉ other mechanisms already in Manifesto (written before Marx

studied economics):É proletarianization:

É during capitalist evolution intermediate classes (e.g.professionals) absorbed into proletariat

É pauperization:É because of industrial reserve army (permanent surplus of

unemployed manpower) caused by mechanizationÉ proletariat grows poorer & eventually rebels (a sociological

mechanism)É proletariat too poor to absorb industrial production⇒ crisis of

over-production (an economic mechanism)

Karl Marx (1818–1883)Old Marx

Legacy of older Marx:É powerful inspiration to Socialist movements internationallyÉ inspiration for Bolshevik Revolution (1917)É basis for official ideologies of Soviet Unions & other

Marxist-Leninist societiesÉ durable appeal as secular ethical-political “faith”É several predictions failed:

É capitalism did not self-destruct in the WestÉ standards of living improved rather than declinedÉ Marxist-Leninist revolution did not produce classless societyÉ many Marxist-Leninist regimes overturned or transformed

(China)

Karl Marx (1818–1883)Old Marx – Discussion Points

É Raymond Aron writes (Aron I, p. 208):É “All I should like to establish here [. . . ] is that the rise of the

proletariat cannot, except by mythology, be compared with therise of the bourgeoisie and that herein lies the central,immediately obvious error of the entire Marxist vision ofhistory, an error whose consequences have been considerable.”

É What does Aron have in mind?É How serious is the issue raised by Aron?

Karl Marx (1818–1883)Old Marx – Discussion Points

É Variants of Marxism have been adopted by numerous politicalparties over the world and (at the peak of its success)Marxism was the official ideology for billions of people.É What features of Marxism might explain this extraordinary

success of Marxism as a political ideology?

Karl Marx (1818–1883)Old Marx – Discussion Points

É In Manifesto Marx & Engels predicted that the proletarianrevolution would, by removing the very basis of classantagonisms, replace the capitalist system by a classless,egalitarian association of producers.É How well did actual takeovers by Marxist parties conform to

that scenario?É What might be reasons for deviations from the future

envisioned by Marx?É How would one argue (from a Marxist perspective) that

apparent deviations are, in fact, consistent with the Marxistvision?

Karl Marx (1818–1883)Old Marx – Discussion Points

É Raymond Aron, among others, has argued that the Marxistvision is sociological as well as economic.É What features of Marxism are more specifically economic?

Which sociological?É How essential are the sociological mechanisms for the Marxist

vision of the evolution of capitalism?

Karl Marx (1818–1883)Old Marx – Discussion Points

É A contemporary theme of historical sociology is an emphasison the role of the state in the unfolding of social revolutions(e.g., in the work of Theda Skocpol).É What role does the state play in the Marxist conception of the

evolution of capitalism?É How can Marx’s conceptualization of the state be improved?