http://www.marxists.org/archive/marx/works/1867-c1/ch01.htm#S1

What, first of all, practically concerns producers when they make an
exchange, is the question, how much of some other product they get for their
own? in what proportions the products are exchangeable? When these
proportions have, by custom, attained a certain stability, they appear to
result from the nature of the products, so that, for instance, one ton of
iron and two ounces of gold appear as naturally to be of equal value as a
pound of gold and a pound of iron in spite of their different physical and
chemical qualities appear to be of equal weight. The character of having
value, when once impressed upon products, obtains fixity only by reason of
their acting and re-acting upon each other as quantities of value. These
quantities vary continually, independently of the will, foresight and action
of the producers. To them, their own social action takes the form of the
action of objects, which rule the producers instead of being ruled by them.
It requires a fully developed production of commodities before, from
accumulated experience alone, the scientific conviction springs up, that all
the different kinds of private labour, which are carried on independently of
each other, and yet as spontaneously developed branches of the social
division of labour, are continually being reduced to the quantitative
proportions in which society requires them. And why? Because, in the midst
of all the accidental and ever fluctuating exchange relations between the
products, the labour time socially necessary for their production forcibly
asserts itself like an over-riding law of Nature. The law of gravity thus
asserts itself when a house falls about our ears.[29]
<http://www.marxists.org/archive/marx/works/1867-c1/ch01.htm#29>  The
determination of the magnitude of value by labour time is therefore a
secret, hidden under the apparent fluctuations in the relative values of
commodities. Its discovery, while removing all appearance of mere
accidentality from the determination of the magnitude of the values of
products, yet in no way alters the mode in which that determination takes
place. 

Man’s reflections on the forms of social life, and consequently, also, his
scientific analysis of those forms, take a course directly opposite to that
of their actual historical development. He begins, post festum, with the
results of the process of development ready to hand before him. The
characters that stamp products as commodities, and whose establishment is a
necessary preliminary to the circulation of commodities, have already
acquired the stability of natural, self-understood forms of social life,
before man seeks to decipher, not their historical character, for in his
eyes they are immutable, but their meaning. Consequently it was the analysis
of the prices of commodities that alone led to the determination of the
magnitude of value, and it was the common expression of all commodities in
money that alone led to the establishment of their characters as values. It
is, however, just this ultimate money form of the world of commodities that
actually conceals, instead of disclosing, the social character of private
labour, and the social relations between the individual producers. When I
state that coats or boots stand in a relation to linen, because it is the
universal incarnation of abstract human labour, the absurdity of the
statement is self-evident. Nevertheless, when the producers of coats and
boots compare those articles with linen, or, what is the same thing, with
gold or silver, as the universal equivalent, they express the relation
between their own private labour and the collective labour of society in the
same absurd form. 

The categories of bourgeois economy consist of such like forms. They are
forms of thought expressing with social validity the conditions and
relations of a definite, historically determined mode of production, viz.,
the production of commodities. The whole mystery of commodities, all the
magic and necromancy that surrounds the products of labour as long as they
take the form of commodities, vanishes therefore, so soon as we come to
other forms of production. 

Since Robinson Crusoe’s experiences are a favourite theme with political
economists,[30]
<http://www.marxists.org/archive/marx/works/1867-c1/ch01.htm#30>  let us
take a look at him on his island. Moderate though he be, yet some few wants
he has to satisfy, and must therefore do a little useful work of various
sorts, such as making tools and furniture, taming goats, fishing and
hunting. Of his prayers and the like we take no account, since they are a
source of pleasure to him, and he looks upon them as so much recreation. In
spite of the variety of his work, he knows that his labour, whatever its
form, is but the activity of one and the same Robinson, and consequently,
that it consists of nothing but different modes of human labour. Necessity
itself compels him to apportion his time accurately between his different
kinds of work. Whether one kind occupies a greater space in his general
activity than another, depends on the difficulties, greater or less as the
case may be, to be overcome in attaining the useful effect aimed at. This
our friend Robinson soon learns by experience, and having rescued a watch,
ledger, and pen and ink from the wreck, commences, like a true-born Briton,
to keep a set of books. His stock-book contains a list of the objects of
utility that belong to him, of the operations necessary for their
production; and lastly, of the labour time that definite quantities of those
objects have, on an average, cost him. All the relations between Robinson
and the objects that form this wealth of his own creation, are here so
simple and clear as to be intelligible without exertion, even to Mr. Sedley
Taylor. And yet those relations contain all that is essential to the
determination of value. 

Let us now transport ourselves from Robinson’s island bathed in light to the
European middle ages shrouded in darkness. Here, instead of the independent
man, we find everyone dependent, serfs and lords, vassals and suzerains,
laymen and clergy. Personal dependence here characterises the social
relations of production just as much as it does the other spheres of life
organised on the basis of that production. But for the very reason that
personal dependence forms the ground-work of society, there is no necessity
for labour and its products to assume a fantastic form different from their
reality. They take the shape, in the transactions of society, of services in
kind and payments in kind. Here the particular and natural form of labour,
and not, as in a society based on production of commodities, its general
abstract form is the immediate social form of labour. Compulsory labour is
just as properly measured by time, as commodity-producing labour; but every
serf knows that what he expends in the service of his lord, is a definite
quantity of his own personal labour power. The tithe to be rendered to the
priest is more matter of fact than his blessing. No matter, then, what we
may think of the parts played by the different classes of people themselves
in this society, the social relations between individuals in the performance
of their labour, appear at all events as their own mutual personal
relations, and are not disguised under the shape of social relations between
the products of labour. 

For an example of labour in common or directly associated labour, we have no
occasion to go back to that spontaneously developed form which we find on
the threshold of the history of all civilised races.[31]
<http://www.marxists.org/archive/marx/works/1867-c1/ch01.htm#31>  We have
one close at hand in the patriarchal industries of a peasant family, that
produces corn, cattle, yarn, linen, and clothing for home use. These
different articles are, as regards the family, so many products of its
labour, but as between themselves, they are not commodities. The different
kinds of labour, such as tillage, cattle tending, spinning, weaving and
making clothes, which result in the various products, are in themselves, and
such as they are, direct social functions, because functions of the family,
which, just as much as a society based on the production of commodities,
possesses a spontaneously developed system of division of labour. The
distribution of the work within the family, and the regulation of the labour
time of the several members, depend as well upon differences of age and sex
as upon natural conditions varying with the seasons. The labour power of
each individual, by its very nature, operates in this case merely as a
definite portion of the whole labour power of the family, and therefore, the
measure of the expenditure of individual labour power by its duration,
appears here by its very nature as a social character of their labour. 

Let us now picture to ourselves, by way of change, a community of free
individuals, carrying on their work with the means of production in common,
in which the labour power of all the different individuals is consciously
applied as the combined labour power of the community. All the
characteristics of Robinson’s labour are here repeated, but with this
difference, that they are social, instead of individual. Everything produced
by him was exclusively the result of his own personal labour, and therefore
simply an object of use for himself. The total product of our community is a
social product. One portion serves as fresh means of production and remains
social. But another portion is consumed by the members as means of
subsistence. A distribution of this portion amongst them is consequently
necessary. The mode of this distribution will vary with the productive
organisation of the community, and the degree of historical development
attained by the producers. We will assume, but merely for the sake of a
parallel with the production of commodities, that the share of each
individual producer in the means of subsistence is determined by his labour
time. Labour time would, in that case, play a double part. Its apportionment
in accordance with a definite social plan maintains the proper proportion
between the different kinds of work to be done and the various wants of the
community. On the other hand, it also serves as a measure of the portion of
the common labour borne by each individual, and of his share in the part of
the total product destined for individual consumption. The social relations
of the individual producers, with regard both to their labour and to its
products, are in this case perfectly simple and intelligible, and that with
regard not only to production but also to distribution. 

The religious world is but the reflex of the real world. And for a society
based upon the production of commodities, in which the producers in general
enter into social relations with one another by treating their products as
commodities and values, whereby they reduce their individual private labour
to the standard of homogeneous human labour – for such a society,
Christianity with its cultus of abstract man, more especially in its
bourgeois developments, Protestantism, Deism, &c., is the most fitting form
of religion. In the ancient Asiatic and other ancient modes of production,
we find that the conversion of products into commodities, and therefore the
conversion of men into producers of commodities, holds a subordinate place,
which, however, increases in importance as the primitive communities
approach nearer and nearer to their dissolution. Trading nations, properly
so called, exist in the ancient world only in its interstices, like the gods
of Epicurus in the Intermundia, or like Jews in the pores of Polish society.
Those ancient social organisms of production are, as compared with bourgeois
society, extremely simple and transparent. But they are founded either on
the immature development of man individually, who has not yet severed the
umbilical cord that unites him with his fellowmen in a primitive tribal
community, or upon direct relations of subjection. They can arise and exist
only when the development of the productive power of labour has not risen
beyond a low stage, and when, therefore, the social relations within the
sphere of material life, between man and man, and between man and Nature,
are correspondingly narrow. This narrowness is reflected in the ancient
worship of Nature, and in the other elements of the popular religions. The
religious reflex of the real world can, in any case, only then finally
vanish, when the practical relations of every-day life offer to man none but
perfectly intelligible and reasonable relations with regard to his fellowmen
and to Nature. 

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 society 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. 

Political Economy has indeed analysed, however incompletely,[32]
<http://www.marxists.org/archive/marx/works/1867-c1/ch01.htm#32>  value and
its magnitude, and has discovered what lies beneath these forms. But it has
never once asked the question why labour is represented by the value of its
product and labour time by the magnitude of that value.[33]
<http://www.marxists.org/archive/marx/works/1867-c1/ch01.htm#33>  These
formulæ, which bear it stamped upon them in unmistakable letters that they
belong to a state of society, in which the process of production has the
mastery over man, instead of being controlled by him, such formulæ appear to
the bourgeois intellect to be as much a self-evident necessity imposed by
Nature as productive labour itself. Hence forms of social production that
preceded the bourgeois form, are treated by the bourgeoisie in much the same
way as the Fathers of the Church treated pre-Christian religions.[34]
<http://www.marxists.org/archive/marx/works/1867-c1/ch01.htm#34>  

To what extent some economists are misled by the Fetishism inherent in
commodities, or by the objective appearance of the social characteristics of
labour, is shown, amongst other ways, by the dull and tedious quarrel over
the part played by Nature in the formation of exchange value. Since exchange
value is a definite social manner of expressing the amount of labour
bestowed upon an object, Nature has no more to do with it, than it has in
fixing the course of exchange. 

The mode of production in which the product takes the form of a commodity,
or is produced directly for exchange, is the most general and most embryonic
form of bourgeois production. It therefore makes its appearance at an early
date in history, though not in the same predominating and characteristic
manner as now-a-days. Hence its Fetish character is comparatively easy to be
seen through. But when we come to more concrete forms, even this appearance
of simplicity vanishes. Whence arose the illusions of the monetary system?
To it gold and silver, when serving as money, did not represent a social
relation between producers, but were natural objects with strange social
properties. And modern economy, which looks down with such disdain on the
monetary system, does not its superstition come out as clear as noon-day,
whenever it treats of capital? How long is it since economy discarded the
physiocratic illusion, that rents grow out of the soil and not out of
society? 

But not to anticipate, we will content ourselves with yet another example
relating to the commodity form. Could commodities themselves speak, they
would say: Our use value may be a thing that interests men. It is no part of
us as objects. What, however, does belong to us as objects, is our value.
Our natural intercourse as commodities proves it. In the eyes of each other
we are nothing but exchange values. Now listen how those commodities speak
through the mouth of the economist.

“Value” – (i.e., exchange value) “is a property of things, riches” – (i.e.,
use value) “of man. Value, in this sense, necessarily implies exchanges,
riches do not.”[35]
<http://www.marxists.org/archive/marx/works/1867-c1/ch01.htm#35>  “Riches”
(use value) “are the attribute of men, value is the attribute of
commodities. A man or a community is rich, a pearl or a diamond is
valuable...” A pearl or a diamond is valuable as a pearl or a diamond.[36]
<http://www.marxists.org/archive/marx/works/1867-c1/ch01.htm#36> 

So far no chemist has ever discovered exchange value either in a pearl or a
diamond. The economic discoverers of this chemical element, who by-the-bye
lay special claim to critical acumen, find however that the use value of
objects belongs to them independently of their material properties, while
their value, on the other hand, forms a part of them as objects. What
confirms them in this view, is the peculiar circumstance that the use value
of objects is realised without exchange, by means of a direct relation
between the objects and man, while, on the other hand, their value is
realised only by exchange, that is, by means of a social process. Who fails
here to call to mind our good friend, Dogberry, who informs neighbour
Seacoal, that, “To be a well-favoured man is the gift of fortune; but
reading and writing comes by Nature.”[37]
<http://www.marxists.org/archive/marx/works/1867-c1/ch01.htm#37>  



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