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Karl MarxA modern alternative to SparkNotes and CliffsNotes, SuperSummary offers high-quality Study Guides with detailed chapter summaries and analysis of major themes, characters, and more.
While Karl Marx never directly uses the term “ideology” in either of these two essays, the concept of ideology is prevalent throughout both and is a key idea that he and many later Marx-inspired thinkers would pick up and develop further. Broadly speaking, ideology in Marxist analysis refers to the worldview that an individual unconsciously acquires from the world around them: It is the beliefs, values, attitudes, and even habits of feeling that a given society inculcates to preserve and reproduce its structures of power and social organization. This means that ideology is inherently biased toward a particular understanding of reality and may not always reflect the truth. Despite not using the term ideology, Marx frequently uses words like “appears” and “illusion” when describing aspects of the capitalist mode of production, and even refers to economists as “mouthpieces of the middle class” (VPaP, 25). Marx therefore sets out to explore the nature of bourgeois ideology and its relationship to the capitalist economic system.
One of the first instances of ideology at work is the wage system, which obscures the fact that workers perform unpaid labor as part of their agreement with the capitalist. Since wages are paid after the labor has been performed, it gives the appearance that what is being exchanged for the wages is this performed labor. Common phrases like “A fair day’s wage for a fair day’s work!” (VPaP, 94) reinforce this appearance and the idea that the exchange is fair. Marx argues, however, that in reality it is the worker’s labor power that the capitalist purchases, and with it, the right to use that labor over the agreed-upon length of time. This distinction is important because: 1) labor is the source of all value; 2) the value of labor is determined by the value of necessities needed to maintain the worker; and 3) the worker always reproduces that value in fewer hours than he is employed by the capitalist, meaning he works the difference unpaid. This unpaid—or surplus labor—is how the capitalist makes profit, but the mechanisms of the wage system mask this exploitation.
Ideology is also present in the fact Marx spends the first half of “Value, Price and Profit” responding to John Weston (See: Key Figures), an ostensible leftist and ally of Marx. Marx argues that Weston’s understanding of capitalism comes from bourgeois economics—specifically, the theory of the wages fund, which broadly argues that an increase in wages will have no material impact for workers because the cost lost in increased wages would be earned back on the price of necessities. As Marx argues, “[this] theory [is] thus a weapon in the hands of employers in their struggle against the working masses” (VPaP, 9) because it is designed to appease workers and discourage them from participating in any form of political action.
Ultimately, Marx asserts, theories like this are designed, alongside the mechanisms of the capitalist mode of production (e.g., long work hours, the wage system, the division of labor), to help reproduce the system and ensure working class subordination. To a large degree, Marx believes that his entire project hinges on how well he can educate the masses, and this involves helping them unlearn a lot of ideas they have about the world and their place in it.
Marx’s critique of capitalism is rooted in the idea that it is an inherently exploitative system that perpetuates—and continually increases—wealth and political inequality. However, he is just as concerned with how it creates working conditions that leave laborers alienated from their work and each other.
For Marx, work is fundamental to existence as a human being; it “is the active expression of the labourer’s own life” and their “life activity” (WLaC, 11). This is because work should be an opportunity to express creativity, ingenuity, and practiced skills and abilities, it should be a space to collaborate with others toward an end goal, and it should be a process that is not only fulfilling, satisfying, and rewarding, but one that allows the worker to put something of themselves into the world through the work they do. However, as Marx sees it, all of this is at best distorted, and at worst completely corrupted, under the capitalist mode of production.
One reason for this alienation is that labor itself becomes a commodity and the worker is separated from the product of their labor. According to Marx, something becomes a commodity when it is produced in order to fill a social want—i.e., it is produced with the intent of being sold in the market—and it must be “subordinate to the division of labour within society” (47). Labor power itself fills this definition, and because its value can be made commensurate with any other commodity through exchange, it too becomes a commodity. The consequence of this is that by selling their labor power to the capitalist, the worker divorces themselves from the products of their labor: They are not producing them for immediate, individual use, and have relinquished their ownership rights to anything they produce. This agreement fundamentally transforms the purpose and essence of work from “life-activity” into a sacrifice of time and body that must be made in order to survive. As Marx puts it, “Life for him begins where this activity ceases” (WLaC, 12).
On top of this, because capitalism inherently requires constant, perpetual growth, capitalists are always seeking new ways to improve efficiency and reduce the cost of labor. One way they achieve this is through the division of labor, and another is through the introduction of new or improved technology. In both cases, the result is the same: Labor becomes simpler and more repetitive; the physical and mental satisfaction that can and should be achieved through work is stripped away and replaced with tedium. Rather than making work easier, technology often has the effect of making work harder, and workers are reduced to cogs in an increasingly larger machine—a point that is emphasized by Marx through the fact that when calculating cost of production, capitalists consider workers in much the same vein as raw materials and instruments of labor.
This leads into the final way workers are alienated under the capitalist mode of production: They are alienated from their fellow working human beings. This is because in the mode of capitalist production, everything becomes a competition. Capitalists must compete to increase production while lowering costs to ensure their own survival in the market. This is often accomplished by reducing workers by replacing them with machines or through reducing the skill level of work through the division of labor. In both cases, competition among workers increases, which generally has the overall effect of decreasing wages. Moreover, through their participation in the system (which they cannot avoid), workers ensure their own continued subjugation by playing a vital role in its reproduction.
Marx’s most important conclusion in “Value, Price and Profit” is that “[a] commodity has a value, because it is a crystallization of social labour” (VPaP, 47-48, emphasis added), and that profits are realized “not by selling his commodity at a price over and above its value, but by selling it at its real value” (VPaP, 67). These two ideas hold the key to understanding both the labor theory of value and its consequences for the working class.
Since commodities can be exchanged for any other commodity and not lose their value (e.g., cotton can be exchanged for wheat, silver, or anything else), Marx argues that value must lie outside of exchange. Beyond this, the only thing all commodities have in common is social labor: They were produced to satisfy a social need and as a part of the larger system of production. Thus, the ultimate source of value of a given commodity is the amount of crystalized labor it contains. This includes the raw materials and the labor required to harvest them, wear and tear on the instruments of labor, and the labor performed by the last employed worker. From here, the question becomes how to quantify and determine the value of labor. Marx answers this question by asserting that labor is measured in time (hours, days, weeks, etc.), and like any other commodity, its value is determined by the quantity of labor necessary to produce it. In the case of labor, because the laborer needs to consume a certain amount of what Marx deems necessities, the quantity of labor required to produce and maintain the laborer is the value of these necessities.
With this understanding of value, it is here that Marx makes a key distinction using his labor theory of value to highlight the way the capitalist mode of production extracts profit by exploiting labor. He points out in both “Wage Labour and Capital” and “Value, Price and Profit” that, despite appearances, it is not performed labor that the worker exchanges for wages with the capitalist; instead, it is their labor-power—their potential to do work. By purchasing labor power, the capitalist buys the right to use it like any other commodity, and in the case of labor power, that means putting the laborer to work for an entire day. While the length of the working day varies historically and geographically, it is always longer than it takes the worker to reproduce the value of their labor (i.e., their wages, which equal the cost of necessities to maintain them). Thus, there is going to be a period where the laborer continues to produce for the capitalist due to their wage agreement, but is not actually paid for doing so.
This surplus labor produces surplus value, or profit, that goes directly into the capitalist’s pocket and can be used again to purchase more wage labor, more raw materials, and more instruments of production. In this way, capital preserves and multiplies itself, making the capitalist wealthier and wealthier, while the wage laborer must immediately consume their wages to sustain themselves. As this cycle of exploitation continues, the wealth gap widens and the capitalist class gains ever more power over the working class.
By Karl Marx