Andrew Kliman's "Reclaiming Marx's "Capital"" (Book Note)

 

"Reclaiming Marx’s 'Capital'" takes aim at a prominent strand of anti-Marxist criticism that has persisted for over a century. This critique revolves around the assertion that Marx's seminal work, "Capital," contains a fundamental logical inconsistency between its value theory and theory of prices. According to critics, this inconsistency undermines not only Marx's economic analysis but also his broader social insights. However, Kliman challenges this line of criticism by demonstrating that the alleged inconsistencies arise from particular interpretations of Marx's arguments rather than inherent flaws in Marx's theories themselves.

 

Kliman argues that alternative interpretations of Marx's value theory and the transformation between value and prices do not necessarily lead to logical inconsistencies. The critics, he contends, erroneously treat their interpretations as the only valid ones, ignoring the plurality of possible readings of Marx's work. By showing that multiple interpretations exist and can logically validate Marx's theories, Kliman dismantles the critics' claims of inherent inconsistency.

 

The century-long scholarly debate on these issues has had different effects on Marxism's critics and adherents. Critics have used the debate to bolster their arguments against Marxian economics, dismissing it on supposed logical grounds. For some Marxists, particularly those less concerned with economic theory, the debate has been of limited interest, as it seemed abstract and detached from practical political concerns. However, a subset of Marxian economists has been deeply engaged in responding to the ongoing critical literature, grappling with challenges to their theoretical and political commitments.

 

Kliman's book not only addresses the specific challenge posed by critics but also offers broader insights into contemporary criticisms of Marx and Marxism. While there may be disagreements among scholars about the interpretation of Marx's value, price, and profit theories, Kliman's work underscores the importance of rejecting claims of inherent inconsistency in Marx's fundamental theories. Instead, it encourages a nuanced understanding of Marx's ideas and their relevance to contemporary economic and social issues.

 

Kliman's interpretation of Marx not only refutes the alleged inconsistencies in Marx's theories but also contributes to a broader resurgence of interest in Marx's value theory. One significant aspect of this resurgence is the understanding of values and prices as interdependent yet distinct concepts. According to Kliman, values reflect the socially necessary abstract labor embodied in commodities during production, while prices reflect the redistribution of these values in actual exchanges under specific social conditions such as competition and profit rate averaging. This perspective challenges the traditional Marxist view that values are the essential cause of prices and provides a new framework for understanding the relationship between them.

 

Another crucial interpretive move is the incorporation of time into the analysis of inputs and outputs in capitalist production. By recognizing the temporal dimension, Kliman emphasizes the impact of external influences on production processes and the subsequent changes in prices. This temporal perspective adds depth to economic analysis by considering how production conditions evolve over time and affect both physical dimensions and prices of inputs and outputs.

 

Furthermore, Kliman's approach extends beyond purely economic analysis to philosophical and epistemological considerations. He highlights the role of personal perspectives, educational backgrounds, and ideological inclinations in shaping interpretations of Marx's work. This acknowledgment of diverse interpretations underscores the subjective nature of economic theories and emphasizes the importance of recognizing alternative perspectives in understanding complex socio-economic phenomena.

 

The implications of these interpretive moves extend beyond academic discourse to broader debates about capitalism and socialism/communism. Traditional interpretations of capitalism and socialism focus on private property versus socialized property and markets versus planning. However, alternative Marxist interpretations emphasize the production, appropriation, and distribution of surpluses. According to this perspective, capitalism is characterized by exploitation, where different groups produce and appropriate surpluses, whereas communism represents the end of exploitation, with collective ownership and distribution of surpluses among the same individuals.

 

According to the hegemonic interpretation, the twentieth century was characterized by the epic struggle between capitalism and socialism/communism. However, a new interpretation posits that the struggle was primarily between two forms of capitalism. In this view, one form was private capitalism, where corporate boards of directors elected by private shareholders appropriated surplus value. The other form was state capitalism, where ministerial directors, such as those in the USSR's Council of Ministers, appropriated surplus value and were part of the state apparatus.

 

From this perspective, the battle between capitalism and communism has yet to be fully engaged. Kliman's book underscores the significance of alternative interpretations of Marx's value, price, and profit theories, emphasizing how these interpretations have profound theoretical, political, and social implications. Today, the world grapples with divergent outcomes stemming from contrasting understandings of capitalism and socialism/communism.