Marxian Theory of Economic Development

He attempts to explain that all historical events have been influenced by economic conditions. The key concepts in his explanation are mode of production and relations of proud. The term ‘mode of prod. ‘ refers to a particular social arrangement of prod. Corresponding to a particular mode of prod. , there is an appropriate set of relations of prod. (Property relations). These relations of prod define the character of a society class structure. According to Marx, the class structure in every society except socialism sums chiefly of a dominant directing class and an oppressed class.
The mode of prod determines the economic, social and political super-structure of society. Evolution in a society occurs because the material forces of prod, I. E. , the mode of prod changes. In the early stages of a particular social system, the material forces of prod are compatible with the relations of prod. & the super-structure of ideas and institutions. But gradually, the mode of prod changes, whereas changes in the relations of prod & the cultural super-structure lag behind. All history according to Marx follows this cycle of evolution. Marx and Engle discern 4 social systems in History: 1.
Primitive Communism 2. The Ancient Class State 3. Feudalism 4. Capitalism All these systems, except first, have witnessed class struggles between freeman & slave, baron & serf, between Patrician & Plebian, haves and have not and so on… Ultimately the capitalists (thesis) and the proletarians (anti-thesis) face one another. The outcome of the struggle is the ‘syntheses, a new classless social order called ‘socialism’ or the dictatorship of the proletariat. Ultimately, socialism will blossom into communism. The slogan then will be “trot each according to his means”. Mar’s interest was not primarily in an explanation of the past. The analysis of the past merely furnishes a background for his principal concern with the nature and causes of the imminent disintegration of capitalism. Mar’s theory of value provides the framework on which he basis his analysis of economic adapt under capitalism. Mar’s theory of value is based on the classical labor theory of value. That is, the labor theory explains that labor is the soul source of value of the commodity. For, land and other natural resources cannot contribute value without the help of man ND capital is embodied labor.
Therefore, Marx believed that the value of a commodity is determined by the socially necessary labor time spent on it. THEORY OF SURPLUS VALUE The Capitalist produce commodity with the application of labor (active factor of prod) to the machinery and raw material (passive factors of prod). These commodities command a certain value in the market. But the wages paid to workers are less than the market value of the comity (I. E. , only subsistence level). The difference between the market value of the output and the wages paid to workers constitutes the profits r surplus value.
This surplus value is appropriated by the capitalist class which, according to Marx, ought to have gone to the workers. This, according to Marx, is exploitation of the working class. Thus, it is the exploitation of labor that creates surplus value and it is the reinvestment of surplus value which ultimately ensures the progress of the society under capitalism. COMPONENTS OF VALUE Total value of a commodity is composed of three factors: constant capital (C), variable capital (V) and surplus value (S). Thus, total value TV=C+V+S. ‘C’ represents the value f materials and machinery used in the production function. Presents the amount of labor used during a particular period, I. E. , wages and ‘S’ is surplus value or profit. These components can be used to explain certain ratios which are relevant for the capitalist process of adapt.
Approximate price: $22
We value our customers and so we ensure that what we do is 100% original..

With us you are guaranteed of quality work done by our qualified experts.Your information and everything that you do with us is kept completely confidential.You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.The Product ordered is guaranteed to be original. Orders are checked by the most advanced anti-plagiarism software in the market to assure that the Product is 100% original. The Company has a zero tolerance policy for plagiarism.The Free Revision policy is a courtesy service that the Company provides to help ensure Customer’s total satisfaction with the completed Order. To receive free revision the Company requires that the Customer provide the request within fourteen (14) days from the first completion date and within a period of thirty (30) days for dissertations.The Company is committed to protect the privacy of the Customer and it will never resell or share any of Customer’s personal information, including credit card data, with any third party. All the online transactions are processed through the secure and reliable online payment systems.By placing an order with us, you agree to the service we provide. We will endear to do all that it takes to deliver a comprehensive paper as per your requirements. We also count on your cooperation to ensure that we deliver on this mandate.