SOSC 1340/1349 B ESSAY 2 3
personnel (Braverman, 1974). The society was way different before capitalism with social
division of labor ensuring that the workers are able to do best in their crafts or trades by creating
products in which they were comfortable and proficient.
Capitalist organization of production
Capitalist production implies that most of the production conditions like the factory,
the land and the factory are privately owned. Exchange and production are considered to be
social institutions and thus their organization has certain social consequences. Capitalism has
been founded on the basis of the private ownership wherein the owners are dependent on the
wage labor for creating profits. It tends to exploit the workers by forcing the workers to work
for longer hours. The exploitative relationship of capitalists with the industrial workers results
in their poor living conditions or poverty.
Marx argued that the exploitation mechanism within the capitalist system develops
social antagonisms within the society. Capitalist development that occurs on a private initiative
in a socially unplanned or uncoordinated manner facilitates crisis related to over-production.
This implies that a major portion of the output remains unsold. As opposed to over-production,
over-accumulation of the productive capital tends to invest a huge amount of capital in
production. This results in recession or a depression, in severe cases. As a result, mass
unemployment happens (Yates, 2003). Also, it causes inequality as capitalists exploit the
workers who have only labor provision as a medium of survival (Elwell, 2015).
However, there are other aspects to the consequences of the capitalist organization of
production. Capitalist production demands commodities, money and exchange relations and is
dependent on the sale and purchase of the labor power. In this regard, three primary conditions
are generalized across the society. Firstly, the workers get detached from the means through
which production is done. They can access them only if they sell their labor power or right to