The Term Capitalism

Posted by Adam 11 years, 4 months ago to Economics
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Hey, all.

Smith, in Wealth of Nations, never mentions capitalism, and Marx, in Capital, mentions it as if it were a known term, but what he describes is essentially what Smith describes as mercantilism. Anyone know the history of this shift? Why didn't Marx use "mercantilism" too?


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  • Posted by 11 years, 4 months ago
    @Mimi

    Fear of plagiarism would be an explanation for misusing terms relative to then contemporary standards. He actually establishes a definition and then uses the term that he established in a way that contradicts his definition. He literally contradicts himself within the span of paragraphs.

    To call him a "synthetic thinker" is almost circularly irrational: he thinks like a moron because he's the product of moronism; it is true that a man is a moron as a consequence of moronism because the subject moron declared it. It's ridiculous.

    To associate him with "greats" is to attempt to establish an appeal to authority, but that's irrational since such an appeal has merit only in the absence of superior evidence, such as his demonstrated difficulty in communication.

    You're not a supporter of his economic rules, are you?

    Regarding mercantilism and trade unions impositions against the masses: 18th and 19th C. are the context of the discussion.

    And, to be frank, I don't know how you could honestly not follow my thought on the question of trade unions since Smith writes about them in relation to mercantilism and you claim sufficient authority on the subject of mercantilism to give an explanation of its development to capitalism.
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  • Posted by 11 years, 4 months ago
    @Mimi

    My question was directed toward the subject of trade unions. Are the impositions initiated by trade unions against the people considered mercantilism, as you have defined it.

    If it makes you feel better, the reason that he's difficult to understand is that he's frequently irrational and just as frequently misuses fundamental terms. For instance, the term "use-value" is sometimes a noun, sometimes an adjective, and has an "evolving" definition. It gets worse from there. What I'm finding is that every time he makes a new claim, I must go back to find contradictions or missing premises that are never established.

    To be frank, though there are some really good pages, this is amounting to the stupidest thing that I've ever encountered. I could tolerate the idiocy of the relative value equation being one directional, but he makes conclusions based on that being true when it's self-evidently not the case.

    He's a f'ing moron with a few good points. I've never read anything seriously reliant on ad hominems. He ad hominemed Aristotle! Lol.
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    • Posted by $ Mimi 11 years, 4 months ago
      Well I think Marx' misuse of fundamental terms had more to do with avoiding plagiarism. Lol. He was a synthetic thinker. He gets his history from Hegel, his critique from British liberal economics like Smith and Ricardo, and his vision from french social theory --St. Simon, Fourier, Comte.

      I’m not following your thought. What impositions and specifically what trade unions? Are we talking about the time period of 1880’s? Earlier? Later?
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  • Posted by 11 years, 4 months ago
    @khalling

    Calling what Marx had developed a theory, as I too had always done, is turning out to be one of the most pervasive and flagrant abuses of language of which I've ever been conscious. He's not articulating an explanation of natural human interactions; he's articulating a set of rules by which a market ought be controlled. He's deranged; he's articulating the labor rule of value!

    @Mimi

    Thank you for helping. You don't believe that the controls of the trade unions imposed against the people were part of the mercantilist system?
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    • Posted by $ Mimi 11 years, 4 months ago
      Before mercantilism there was feudalism. Where once peasants lived on land owned by a royalist, peasants began to move to inner-cities (mostly by water) to work in the first factories. The controls were to be expected considering how new the system was. “I got the job, I got the space, and you get paid.” It was a huge shift in how people acquired the necessities of life.Before the shift, everything they owned belong to a high-born, now they had some choices. It was how the bourgeois society was born, which Marx bitched about non-stop. I don’t know if that was the answer you were looking for.Do you want me to explain how I saw Marx’s views? I forgot to tell you the truth. I have notes I took a couple years ago when reading up on him, I do vaguely remember how difficult it was to wrap my head around his theories, but I did give it a good try. I was pleased with the results. I’ll look them up if you want.
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  • Posted by 11 years, 4 months ago
    Comrades!

    Thought that you'd like to know that it appears that Marx uses the term "capitalism" to refer to any philosophy that considers non-utilitarian desire as part of its theory of value.

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  • Posted by $ Mimi 11 years, 4 months ago
    To put it into the simplest and shortest explanation possible. Mercantilism was the way of life for Western Europe until they took to the seas in trade negotiations. Capitalism sort of evolved from the global expansion of Mercantilism. Mercantilsim is the idea of I sell you raw materials. (You get to be the Queen or King), and in turn you take those raw materials and sell back to me clothes and furniture for example. I pay you in gold. (The crown always got the gold.) Somewhere along the way, I ended up supplying my own goods and getting my own pocket of gold. It wasn’t envisioned or planned. Capitalism just happened. Smith was more or less a cheerleader of what he was seeing unfolding and what we now refer to as Capitalism.
    “What’s this? This is great! Let’s build our economy around whatever this is.”

    With the rise of nation states, Mercantilism was dead by the time Marx arrived on the scene.

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  • Posted by khalling 11 years, 4 months ago
    no idea. I do know he was pushing the labor theory of value. not dissimilar from Smith's title of the labor theory of property rights. but the theories were completely different. Marx wanted to prove that capital had no value. "capitalism"
    using this definition, it encompasses mercantilism. broad strokes here, no expert
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  • Posted by $ MikeMarotta 11 years, 3 months ago
    The word "capitalist" was known long before Marx. Adam Smith used it. Benjamin Franklin used it. If you know what a capitalist is, then "capitalism" is easy to understand.

    Marx's use of the word led some libertarians to prefer "free enterprise" or "personal enterprise" or "market" or "free market" and so on and so on. Ayn Rand just relied on the basic and correct meaning.

    I read a "white paper" by a successful CEO of a very good company. He called the next untapped market the "last bastion." Once driving through a snow storm a friend said that he could not see because it was "pitch white outside." People misuse words all the time.

    Like "selfishness", "capitalism" is a good word, but it does have a specific meaning, regardless of how some people misuse it.
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