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Capitalism: A Sociological Analysis

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A distinctive class of individuals benefited with the natural effect of social evolution, while the citizens of the disadvantage social economic status were affected negatively. The economic structures within capitalism are controlled by the wealthy who have and manipulate the means to produce excess. The view of the natural effect by Marx contradicted the political economist; for Marx it was a social evolution “as instruments of oppression that dramatically affect people’s life chances” (Allan 2014:60). Marx perceived the “oppressive social relations” as a determined factor to alienate the labor force, “from the work process, the product, and other people” (Allan 2014:71-72). Marx did not develop these theories, he only built on Adam Smith’s …show more content…
In a capitalistic system, economic decisions are made by every producer and every consumer who is controlled by the free market; it is also where private actors are allowed to own and control the use of property in accord with their own interests. The intervention of the government include the protection of private property or ownership. With this protection the government developed a government banking system that helps to protect the financial strength of companies. The government also developed infrastructures that are presented for the use of the citizens when in fact is for the fast movement of goods by companies, and for the allocation of resources to this companies at lower prices such as water and electricity. In a capitalist society, the property owners equate personal worth with exchange value which leads to the excess production, and exploitation of the socially …show more content…
Marx within his theories of use-value and exchange-value agrees with Smith’s concepts, but concluded that the margin of profit differentiate them. Marx expressed that the value of a commodity is the human labor, the objective amount of exchangeable value place when a commodity is produced and acquired. Every product that humans make is produced with labor, therefore a monetary value can be place on them (Allan 2014:61). Marx’s labor theory of value explained the “necessary labor” that is required to sustain a daily life (Allan 2014:61-62). Within capitalism, human labor is viewed as a mean for profit, and the creation of a surplus. According to Allan (2014), the profit produced by human labor is achieved by two methods, “through absolute and relative surplus labor” (p.62). An absolute surplus labor is reached by extending or “lengthening the workday” (Allan 2014:62). To keep up with product demands and to produce an increase in revenues for investors, capitalists create a surplus that Marx identified as exploitation (Allan 2014:62). The automation tools used in the industrialization increase production that permits the extraction of more labor from the workers, and increased the total output and increase exploitation (Allan

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