Atul Arya
Comparative Economics of Transforming
World Economy
Comparative Development Perspective
HS30002
Chapter 3
The Theory and History of Marxism and Socialism
Answers:
1. Marx and Engels claimed that they advocated scientific socialism in contrast to
utopian socialism. What was the basis of their criticism of the latter? Was it justified?
In the Communist Manifesto of 1848, Marx and Engels argued that the utopian socialists just
concocted ideal societies and avoided such discussion as it was a more unrealistic and
engaged in vague moralizing while failing to analyze historical dynamics “scientifically” and
working to change entire societies.
Yes, it was justified as many people came and tried to implement the idea of utopian socialism
but all of them failed.
Charles Fourier (he failed in his phalansteries)
Robert Owen (his utopian community project failed)
2. According to the Marxian labor theory of value, what is the value of a piece of capital
equipment?
According to the Marxian labor theory of value, the value of a piece of capital equipment is the
amount of socially necessary labor time it takes to reproduce labor, equal to a subsistence
wage.
surplus value, that value created by the worker but taken by the capitalist, leading to the
exploitation. He argued that the true meaning of capital is not the capital good itself but the
social relation of exploitation between the capitalist and the worker.
3. Is there any relationship between the debate over orthodox Marxism and revisionism
and the current debate over gradualism versus sudden “shock therapy” in the transition
from command socialism to market capitalism?
During the late 19th century, Almost everything predicted by Marx was wrong as capitalism had
not collapsed, rising in real waes. Revisionists argued that since conditions were improving, a
reformist and advocate for a gradualist approach through parliamentary democracy should be
used to achieve gains for the working class. revisionism influenced market socialist reformers
later in Eastern Europe. Similarly, countries that have privatized more gradually and carefully,
such as Poland.
Comparative Economics of Transforming
World Economy
Comparative Development Perspective
HS30002
Chapter 3
The Theory and History of Marxism and Socialism
Answers:
1. Marx and Engels claimed that they advocated scientific socialism in contrast to
utopian socialism. What was the basis of their criticism of the latter? Was it justified?
In the Communist Manifesto of 1848, Marx and Engels argued that the utopian socialists just
concocted ideal societies and avoided such discussion as it was a more unrealistic and
engaged in vague moralizing while failing to analyze historical dynamics “scientifically” and
working to change entire societies.
Yes, it was justified as many people came and tried to implement the idea of utopian socialism
but all of them failed.
Charles Fourier (he failed in his phalansteries)
Robert Owen (his utopian community project failed)
2. According to the Marxian labor theory of value, what is the value of a piece of capital
equipment?
According to the Marxian labor theory of value, the value of a piece of capital equipment is the
amount of socially necessary labor time it takes to reproduce labor, equal to a subsistence
wage.
surplus value, that value created by the worker but taken by the capitalist, leading to the
exploitation. He argued that the true meaning of capital is not the capital good itself but the
social relation of exploitation between the capitalist and the worker.
3. Is there any relationship between the debate over orthodox Marxism and revisionism
and the current debate over gradualism versus sudden “shock therapy” in the transition
from command socialism to market capitalism?
During the late 19th century, Almost everything predicted by Marx was wrong as capitalism had
not collapsed, rising in real waes. Revisionists argued that since conditions were improving, a
reformist and advocate for a gradualist approach through parliamentary democracy should be
used to achieve gains for the working class. revisionism influenced market socialist reformers
later in Eastern Europe. Similarly, countries that have privatized more gradually and carefully,
such as Poland.
