MarxismMarxismContributions to the fields of Contributions to the fields of

Commerce & EconomicsCommerce & Economics

A report by Raymund SanchezA report by Raymund Sanchez

Content of the ReportContent of the Report

BackgroundBackground– Biography of MarxBiography of Marx– Development of the school of thoughtDevelopment of the school of thought

TheoriesTheories– Key termsKey terms– Key conceptsKey concepts

ContributionsContributions

BACKGROUNDBACKGROUND

BackgroundBackground Karl Heinrich Marx Karl Heinrich Marx Born: May 5, 1818Born: May 5, 1818 Died: March 14, 1883 Died: March 14, 1883 Father: Heinrich Marx, a Father: Heinrich Marx, a

successful lawyer, was a successful lawyer, was a man of the Enlightenment, man of the Enlightenment, devoted to Kant and devoted to Kant and Voltaire, who took part in Voltaire, who took part in agitations for a constitution agitations for a constitution in Prussiain Prussia

Mother: Henrietta Mother: Henrietta Pressburg, native of HollandPressburg, native of Holland

Religion: parents born Religion: parents born Jewish but converted to Jewish but converted to Evangelical Established Evangelical Established Church due to work Church due to work requirementsrequirements

BackgroundBackground Spouse: Jenny von Spouse: Jenny von

Westphalen, the educated Westphalen, the educated daughter of a Prussian barondaughter of a Prussian baron

Children: 3 of 7 survived to Children: 3 of 7 survived to adulthood due to poverty. adulthood due to poverty. Jenny Caroline, Jenny Laura, Jenny Caroline, Jenny Laura, & Edgar & Edgar

Income: patronage from Income: patronage from Friedrich Engels, writing, & Friedrich Engels, writing, & inheritance of spouseinheritance of spouse

German philosopher, German philosopher, political economist, political economist, historian, political theorist, historian, political theorist, sociologist, communist and sociologist, communist and revolutionary, whose ideas revolutionary, whose ideas are credited as the are credited as the foundation of modern foundation of modern communismcommunism

Development of MarxismDevelopment of Marxism Karl Marx & Friedrich Karl Marx & Friedrich

Engels began collaboration Engels began collaboration in September 1844in September 1844

Pair established the Pair established the Communist Communist Correspondence Correspondence Committee in January 1846Committee in January 1846

Published the Communist Published the Communist Manifesto in February 1948Manifesto in February 1948

Marx’s death in March 14, Marx’s death in March 14, 1883 leads to breakup of 1883 leads to breakup of Marx-Lenin communist Marx-Lenin communist philosophy & subdivision of philosophy & subdivision of MarxismMarxism

Influences of MarxismInfluences of Marxism

German German philosophers: philosophers: – Immanuel Kant Immanuel Kant – Georg Wilhelm Georg Wilhelm

Friedrich HegelFriedrich Hegel– Ludwig FeuerbachLudwig Feuerbach

Immanuel Kant

Georg Hegel

Ludwig FeuerbachLudwig Feuerbach

Influences of MarxismInfluences of Marxism

British political British political economists: economists: – Adam SmithAdam Smith– David RicardoDavid Ricardo

Adam Smith

Influences of MarxismInfluences of Marxism

Ancient Ancient materialism:materialism:– EpicurusEpicurus– Lucretius Lucretius – AristotleAristotle– Giambattista VicoGiambattista Vico– Lewis MorganLewis Morgan– Charles DarwinCharles Darwin

Epicurus

THEORIESTHEORIES

Key TermsKey Terms

EXPLOITATION: A EXPLOITATION: A person is exploited if person is exploited if he or she performs he or she performs more labor than more labor than necessary to produce necessary to produce the goods society the goods society consumes; like-wise, a consumes; like-wise, a person is an exploiter person is an exploiter if he or she performs if he or she performs less labor than is less labor than is necessary to produce necessary to produce goods. goods.

Burmese sweat shop

Key TermsKey Terms

ALIENATION: the estrangement of ALIENATION: the estrangement of people from their humanity which is people from their humanity which is a systematic result of capitalism. a systematic result of capitalism.

Key TermsKey Terms

HISTORICAL MATERIALISM: societal HISTORICAL MATERIALISM: societal development and change in the development and change in the collective ways humans use to make collective ways humans use to make the means for living. the means for living.

Key TermsKey Terms CLASS CONSCIOUSNESS: the awareness — of itself and the CLASS CONSCIOUSNESS: the awareness — of itself and the

social world — that a social class possesses, and its social world — that a social class possesses, and its capacity to rationally act in their best interests.capacity to rationally act in their best interests.

Classifications:Classifications:– PROLETARIATPROLETARIAT: individuals who sell their labor power, and in : individuals who sell their labor power, and in

the capitalist mode of production, do not own the means of the capitalist mode of production, do not own the means of production. production.

– BOURGEOISIEBOURGEOISIE: those who own the means of production and : those who own the means of production and buy labor power from the proletariat, thus exploiting the buy labor power from the proletariat, thus exploiting the proletariatproletariat

– PETIT BOURGEOISIE:PETIT BOURGEOISIE: are those who employ laborers, but  are those who employ laborers, but who also work, i.e. small business owners, peasant landlords, who also work, i.e. small business owners, peasant landlords, trade workers et al. trade workers et al.

– LUMPENPROLETARIATLUMPENPROLETARIAT: criminals, vagabonds, beggars, et al., : criminals, vagabonds, beggars, et al., who have no stake in the economy, and so sell their labor to who have no stake in the economy, and so sell their labor to the highest bidder.the highest bidder.

– PEASANTRY AND FARMERSPEASANTRY AND FARMERS

Key TermsKey Terms

POLITICAL ECONOMY: the study of POLITICAL ECONOMY: the study of the conditions under which economic the conditions under which economic production was organized in the production was organized in the capitalist system.capitalist system.

Key TermsKey Terms

LABOR: work exerted to produce a good or LABOR: work exerted to produce a good or a service a service

Key ConceptsKey Concepts

THE DIALECTICAL AND MATERIALIST THE DIALECTICAL AND MATERIALIST CONCEPT OF HISTORY — CONCEPT OF HISTORY — Humankind's history is Humankind's history is fundamentally that of the struggle fundamentally that of the struggle between social classes. between social classes.

Materialist Concept Of Materialist Concept Of HistoryHistory

1.1. Primitive communismPrimitive communism

2.2. SlaverySlavery

3.3. FeudalismFeudalism

4.4. CapitalismCapitalism

5.5. CommunismCommunism

Key ConceptsKey Concepts

THE CRITIQUE OF CAPITALISM — In THE CRITIQUE OF CAPITALISM — In capitalist society, an economic minority capitalist society, an economic minority (the bourgeoisie) dominate and exploit the (the bourgeoisie) dominate and exploit the working class (proletariat) majority. working class (proletariat) majority.

Critique Of CapitalismCritique Of Capitalism I spent 3 hours creating a product, in the I spent 3 hours creating a product, in the

process I consume means of production process I consume means of production that sometime in the past required 2 hours that sometime in the past required 2 hours to produce – i.e., they have a value of 2 to produce – i.e., they have a value of 2 hours. The value of my product will be:hours. The value of my product will be:

mp + lt = 2 + 3 = 5 (in units of mp + lt = 2 + 3 = 5 (in units of hours.)hours.)

where: where: mp = means of productionmp = means of productionlt = labor timelt = labor timelabor = average qualitylabor = average quality

Critique Of CapitalismCritique Of Capitalism

Expenditure: = mp + lv Expenditure: = mp + lv

Where: lv = value of the labour(-power).Where: lv = value of the labour(-power).

Income: Income: = value of product= value of product= mp + lt= mp + lt

Difference: Difference: = lt – lv= lt – lv= surplus value = surplus value

Key ConceptsKey Concepts

ADVOCACY OF PROLETARIAN ADVOCACY OF PROLETARIAN REVOLUTION — In order to overcome REVOLUTION — In order to overcome the fetters of private property the the fetters of private property the working class must seize political working class must seize political power internationally through a power internationally through a social revolution and expropriate the social revolution and expropriate the capitalist classes around the worldcapitalist classes around the world

CONTRIBUTIONSCONTRIBUTIONS

ContributionsContributions

Marx also expanded greatly on the Marx also expanded greatly on the notion that laborers could come to notion that laborers could come to harm as capitalism became more harm as capitalism became more productive.productive.

WAGE DETERMINATION: Marx WAGE DETERMINATION: Marx offered a theory of how a relative offered a theory of how a relative surplus population in capitalism surplus population in capitalism tended to push wages to tended to push wages to subsistence levels. subsistence levels.

ContributionsContributions

DISTRIBUTION OF WEALTH / PROFIT: profit DISTRIBUTION OF WEALTH / PROFIT: profit was a deduction from society's output and was a deduction from society's output and that wages and profit were inversely that wages and profit were inversely related: an increase in profit came at the related: an increase in profit came at the expense of a reduction in wages.expense of a reduction in wages.

CONCEPT OF PRODUCT VALUE: Marx CONCEPT OF PRODUCT VALUE: Marx employed a labor theory of value, which employed a labor theory of value, which holds that the value of a commodity is the holds that the value of a commodity is the socially necessary labor time invested in it. socially necessary labor time invested in it.

ContributionsContributions

FACTORS OF PRODUCTION: FACTORS OF PRODUCTION: contributed to the development of contributed to the development of the economic conceptthe economic concept

– labor, "the personal activity of man."labor, "the personal activity of man."– the subject of labor: the thing worked the subject of labor: the thing worked

on.on.– the instruments of labor: tools, laboring the instruments of labor: tools, laboring

domestic animals like horses, chemicals domestic animals like horses, chemicals used in modifying the subject, etc.used in modifying the subject, etc.

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Questions?Questions?