Political Economy: Summary And Analysis

Assignment on Introduction To Political Economy

Submitted By Sunil Ganpat Jiwane Roll Number : 23 MASW (RD) 1st Semester Course Title :Introduction To Political Economy

Submitted To Pro. Sudheer

Tata Institute Of Social Science 2014-15

MA(RD) First Year - First Semester Introduction To Political Economy

Que: Write a short essay on any two of the following . ( 2*10 = 20 marks)

Que 2) Adam Smith

“value of product depends on the time spend by the labour ,this is the Marx's view .so on the basis of labour theory of value

Marx developed the theory of exploitation .”

Marxian Theory Of Surplus Value : “ The capitalist employs workers for more than his necessary to maintain them hence he is able to secure a surplus value which comes to him in the form of profit .

The main aim of the capitalist is to increase the surplus value. The capitalist is not interest in producing large quantities of useful commodities for their own sake but he is interested in the expansion of surplus values. Marxs makes the difference between simple commodity production and capatilist production .Marx give two formulae 1)C-M-C where labour power itself becomes the commodity and is bought and sold in the market .and second 2) M-C-M i.e.the main aim of the capatilist is the profit where producure sells his commodities for money with the money he buys the commodities of the producers for consumptions purposes.the commodities are sold for a greater money ,Marx called surplus value .The capitalist attempt to increase his surplus value by theaccumulation of capital .Marx has classified capital into two basic form :1)variable capital(labour)and 2)constant capital (machinery ),constant capital does not creat surplus value and only variable

“Malthus propose the principle that human population grows in Geomentric Progression while food production grows in an arithmatic progression rate. Thus while food output was likely to increse in a series of 25 years interval in the arithmatic progression as 1,2,4,6,8....(like 2N.where N is natural number)and so on. Population will increase in the geomentric progression as 1,2,4,8,16,32,64......(like 2^N where N is a natural number)and so on . This picture of arithmatic food growth with the simultaneous population growth which help to predict the future when human would have no resources to servive on. To avoid such difficulties, malthus urged controls on population growth.He predicted that the uncontrolled population growth would lead to the decline in resources, increased population, over crowding and unemployment. He thought that this problem would creat the starvation, increase in diseases, crime, poverty and ultimatelty the war. He consider that the population should be kept down to the level at which we could able to meet the enough production rate, which he differentiated as “Prevantive and Positive”