A Comparison of Capitalism and Marxism

Comparison of Capitalism and Marxism In this article we compare the economic principles of capitalism and communism by comparing their historical background and their explanation. I start with the economic father, Adam Smith, and end with Karl Marx's theory. Adam Smith will do its best for socioeconomic, if everyone is selfish. This is so-called "self-understanding self-determination". "Selfish selfishness" is one of the main elements of capitalism.

Marx 's economic theory mainly includes a comparison and comparison of Marxism and capitalism. Karl Marx has many theories covering various aspects of society. In this article I will explain the theory related to economics. Karl Marx's theory mainly includes labor value. This concept includes elements involved in the use and production of workers. The first part of Marx 's labor value theory relates to merchandise. A product is defined as something other than us that meets the needs of one or the other human being through its attributes (Miliband, R. 243). According to Marx, each product has two values ​​of exchange value and use value. The use value of a product refers to the fact that it has a specific purpose; it has several objectives or meets some needs. Every product is not a product, it must be useful, or it must not be worth it.

After Adam Smith, Marx distinguished between the value of goods used and the exchange value in the market. Marx believes that capital will be created by purchasing products for the purpose of creating new products with a higher exchange value than the original purchase price. For Marx, the use of labor itself becomes a product under the capitalist system, the exchange value of labor (as reflected in wages) is lower than the value it produces for capitalists. He believes that this difference in value constitutes the excess value extracted and accumulated by the capitalist. In his book "Capital", Marx pointed out that the capitalistic production style is characterized by the way capital holders withdraw this surplus from workers. Sales will be realized. Goods