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Comparison between Marxism and Neoliberalism - Essay Example

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This essay will focus on two theories put across by various economists and demonstrate how they have been used to explain the impact of political ideologies on economic relations such as buying and selling, flow of investment, and ways in which economic power influences political relationships among states…
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Comparison between Marxism and Neoliberalism
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Comparison between Marxism and Neoliberalism

Download file to see previous pages... Marxism is a system of economic, social, and political philosophy based on ideas that view social change in terms of economic factors. This theory asserts that for human beings to survive they must produce and reproduce the materials necessary for life. As a result, the societies are therefore governed by forces of production1. Karl Marx then views the society as a divide between those that own the means of production and those that provide labour to those that own the means of production. Therefore, according to Marx, political economy is not about the relationship between commodities, prices, supply and demand. It is about the owners of wealth, and how they use it to exploit others. This classification of society into the exploiters and the exploited is what led to the rejection of capitalism by Karl Marx. Marx believed that although capitalism develops the productive powers of human societies to historically unprecedented heights, it does so in ways, which are also disabling, exploitative, and undemocratic 5. In order to change this unjust order in the society Marx advocated for a revolution which would see the distribution of wealth from the few owners of production to all members of the society. The changing of this order would have to be by force as the owners of production are not willing to give up the means of production and will keep exploiting the working class(proletariat) to maintain their status quo. The problem of political economy of capitalism lay in labour. ...Download file to see next pagesRead More
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