Saturday, March 28, 2020

What did Karl Marx get right about capitalism?

Marxism still holds its ground on several key points about Capitalism. My Top Ten Takeaways from Karl Marx, Friedrich Engels, and Vladimir Lenin:

  1. Capitalism is the most dynamic and productive form of collective wealth creation known to man. “Constant revolutionizing of production, uninterrupted disturbance of all social conditions, everlasting uncertainty and agitation distinguish the bourgeois epoch from all earlier ones… All that is solid melts into air, all that is holy is profaned, and man is at last compelled to face with sober senses, his real conditions of life, and his relations with his kind.” (~Karl Marx)
  2. Inequality is a necessary product of Capitalism. It also is the driving force of competition. The highest, most coveted prize is a lasting, sustainable unfair advantage, an eternal fountainhead of individual wealth.
  3. At the same time, inequality is a double-edged sword. Too much inequality necessarily leads to wealth destruction.
  4. Private property on the means of production is the prerequisite for sustained innovation and entrepreneurship. The estrangement of individuals from the means of production (proletarianization) hampers their interest in development and leads to stagnation.
  5. Power follows sources of wealth, not the other way around.
  6. The key to a deep understanding of society lies in property relationships, economic dependencies, money flows, and wealth creation.
  7. Gender patterns are shaped by economic power.
  8. Politics, whatever the banners say, is always about (re)distribution of wealth. “People always will be the foolish victims of deception and self-deception in politics, until they have learned to seek out the interests of some class or other behind all moral, religious, political and social phrases, declarations and promises.” (~ Lenin)
  9. The State is nothing else but a monopoly agent of violence outsourced by the most organized—but not always most wealthy—groups. Everything else is just add-ons, bells, and whistles attached to that essential core.
  10. Ideologies and religions are necessary superstructures cementing a consensus between certain social and ethnic groups about their common economic interests

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