2. The point of Marx’s labor theory of value can perhaps be brought
out as follows. Consider the objection to Marx’s view that says that just as
Marx attributes the total output to labor, we can, if we like, attribute the to-
tal output to capital, or to land, and conclude that capital, or land, is ex-
ploited.
16
In this case, land or capital, whichever we pick, produces more
than is necessary to reproduce itself and so it yields a surplus. If, as factors
of production, capital, land, and labor are to be viewed as perfectly sym-
metrical, we can indeed do this. Marx would consider it a formal trick: his
point, as I have said, is that capital, land, on the one hand, and labor, on the
other, are not to be viewed symmetrically.
Rather, he thinks that human labor is the sole factor of production that
is relevant from a social point of view in considering the justice of eco-
nomic institutions. This being so, pure profit, interest, and rent, as returns
of pure ownership, are to be attributed to labor. These returns are viewed
as paid out of the product of surplus labor, and they are equal to the total
value produced by labor minus the amount that is consumed by labor itself.
Thus, I take Marx to say that when we step back from the various
modes of production that have existed historically, and which will exist, we
must of course recognize that capital and land are productive. But from the
point of view of the members of society, as they might consider together
these modes of production, the only relevant social resource is their com-
bined labor. What concerns them is how social and economic institutions
are to be organized so that they can cooperate on fair terms and use their
combined labor effectively with the forces of nature in ways to be decided
by society as a whole. I think this idea underlies Marx’s vision of a society
of freely associated workers. See Capital, Vol. I, Chapter 1, §4 (Tucker,
p. 327), where Marx says: “The life-process of society, which is based on the
process of material production, does not strip off its mystical veil until it is
treated as production by freely associated men, and is consciously regulated
by them in accordance with a settled plan. This, however, demands for soci-
ety a certain material ground-work or set of conditions of existence which
in their turn are the spontaneous product of a long and painful process of
development.”
3. I believe that Marx takes for granted the idea that people’s combined
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His Conception of Right and Justice
16. See the Generalized Commodity Exploitation Theorem, as proved in John
Roemer’s Value, Exploitation, and Class (New York: Horwood, 1986), in §3.2.
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