Analysis Of Adam Smith's Theory Of Marxization

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Karl Marx basis much of his theory of Marxism and capital on the critiques of other theorists and their assumptions. A famous example is Marx’s critique of Adam Smith regarding “primitive” or primary accumulation. Pearleman defines the concept of primitive accumulation as the separating of the people from their means of providing for themselves. He goes further to state that primitive accumulation provided a basis for capitalist development. It firstly severed the ability of the people to provide for themselves, and secondly, established a system of stern measures required to keep people from finding alternative survival strategies outside the system of wage labour. This essay serves to first establish the principles in which Adam Smith bases …show more content…
Smith asserts that primitive accumulation is largely historical. He elaborates that work and trade are all self-interested desires for profit, and are all natural feature of human behaviour. We therefore have a natural tendency to trade with one another. Smith goes further to break this into three stages. David Harvey in his companion to Capital extrapolates on Smith’s argument to define the three stages of primary accumulation. The first stage, is the phase to which everyone works for themselves. They are working for their own benefit, and when you create a product, it is your own property. This is characterized by everyone working for themselves and their own benefit. The second stage is one portrayed by some people working harder, saving more, and thus having more insight. This implies that there is still a faction of society that works less, saves less, and lives in the moment rather than looking into the future. The first group will gradually acquire wealth, and the facilities for production. The second group on the contrary will never acquire such assets, and they will lose the little they once had. It is therefore the way of the world that virtue is rewarded. Smith presents the question of whether this is how capitalism accumulates the initial ‘heap’ of money. The final stage is the inevitable fact that the second …show more content…
The first aspect that Marx critiques states that economic processes along at work pre-date capitalist production. Market pressures alone therefore generate the result. The emergence of capitalism, instead of being based on the three stages of primary accumulation, evolved from a different set of circumstances: these include state involvement, the armament of big trading companies and Europe on the whole, and

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