A response to Duncan's and Jerry's discussion in ope-ls 2840 and 2842.
I think Duncan asks a crucial question: "How did the political effect of the 
[Marx's?---AJK] analysis become inverted?"  Surprisingly little thought and 
discussion of this issue has taken place.  In Howard and King's 2-volume 
_History_ for instance, there is very little discussion of the socio-political 
determinants of the development of "Marxian economics" at all.  We seem to 
have pure theory arising out of pure theory.
I certainly do not have "the answer" to Duncan's question, just some 
observations.  
There's no denying that there is some truth to Jerry's tentative answer:  
careerism ("The object was to obtain a comfy job as an academic rather than 
help make a revolution").  But I think this is more a symptom than a cause.  
As Jerry himself notes, the careerism of Left intellectuals arose *in part* 
out of professionalization of intellectual endeavor and the weakness of social 
struggles against capital.  More importantly, if one looks at what became the 
Social Structure of Accumulation school, for instance, it is not correct to 
say that they were concerned initially with comfy jobs rather than revolution; 
and I'd say that they are still not concerned to develop theory and analysis 
for their own sakes, but for political purposes.  Moreover, although I'm not 
one of them, I also don't think it is accurate to say that the work of others 
who are concerned to construct an alternative political economy in full 
"technical detail" is motivated mostly by careerism.   
So what else is involved in the inversion of the political significance of 
Marx's body of ideas?  
One thing, certainly, is that those who have opposed (knowingly or 
unknowingly) Marx's Marxism have appropriated the name for their own, mostly 
ideological, purposes, turning it into its opposite. The exemplary instance of 
this, though certainly not the only one, is Stalinism.  Yet one cannot simply 
alter political *conclusions* - the ideas themselves must be altered so that 
the conclusions fit.  Hence, much of what is accepted as "orthodox" "Marxian 
political economy," even among non- and anti-Stalinists, was forged by folks 
such as Sweezy, Dobb, and Meek, in dialogue with folks like Robinson.  Its 
ramifications are too numerous to enumerate, but in general, it is possible to 
say that _Capital_ was turned into an expose' of the "anarchy of the market," 
production for private profit, competion, and "unfair" distribution, in favor 
of state planning and technological development; the "law of value" was 
de-historicized (as Ted noted recently, this flows directly out of the 1943 
Russian revision in the meaning of this law); and, in general, the accepted 
mode of explanation became economic- and technological-determinist and 
physicalist.  
Another factor that permits the inversion of the political implications of 
Marx's ideas, which has had a decisive impact on the development of "Marxian 
economics" especially, is his "logical inconsistencies."  If his conclusions 
are necessarily invalid, because self-contradictory, then, when one "corrects" 
his work, it is not surprising that different conclusions emerge.  For 
instance, the whole purpose of Marx's Ch. 9 transformation was to show that 
the phenomena of competition, atomized ownership, and the quest for maximum 
private gain do not alter the law of value-the results for the total social 
capital are exactly the same as they would be if the whole social capital 
"belong[ed] to one and the same person" (Vol. III, Vintage, 259).  The 
"corrected" transformation does not display Marx's invariances, however, which 
leads to the *opposite* conclusion that "[s]imultaneous equation models ... 
capture one essential aspect of the capitalist economy:  interdependence among 
atomistically separated units of control" and that these models show 
exploitation to be "inseparable from the entire web of interconnections in the 
structure of production and exchange" (David Laibman, paper presented at 1996 
EEA, p. 4, p. 12).   
This inversion of Marx's own conclusions, of course, is not at all separate 
from the inversion I discussed two paragraphs above, and hence I believe it is 
no accident that the "transformation problem" became a persistent one.  The 
view of capitalism that Laibman here expresses dominated (and dominates) and 
it tends to lead to a particular way of posing and conceiving the 
transformation-a way that does not permit the "problem" to be "solved."
Yet another factor flows largely from the perceived insufficiencies of Marx's 
own work:  the proliferation of many "Marxisms."  Once the original is 
perceived to be fundamentally flawed, one has every right to, indeed *must*, 
"correct" or "complete" it.  And this can be done in potentially an infinity 
of ways, by privileging this or that particular insight while ignoring--or 
rejecting, on the ground of consistency-the overall meaning and context, and 
developing a Marxism the political conclusions of which diverge from the 
original.  The resulting de-centered, ambiguous atmosphere also permits the 
acceptance, as one variant of Marxism, of projects stemming from other 
sources.
 
Yet I think there is an even deeper, philosophical problem involved, one that 
bears more directly on the issues Jerry, especially, raised (maybe Duncan, 
too, but his post was too short to tell).  From the beginning of post-Marx 
Marxism (Engels), a strain of positivism infected it.  This positivism was 
quite prominent in the 2nd International, as it was among European 
intellectuals of the time generally.   It encouraged the separation of theory 
and practice,  the view of Marxism as positive "science" and as something 
external to the working class (Kautsky), and so on.  The dualism inherent in 
positivism has a power of its own, even when its adherents *are* 
revolutionaries and even activists.  Once "science" and revolution, theory and 
practice, are separated, it requires an act of will to join them together:  
one, for instance, "chooses" to "apply" a theoretical analysis to reality.  
Certainly everyone knows that political visions and commitments have an impact 
on the activity of the theorIST, but positivism denies that THE THEORETICAL IS 
POLITICAL *ITSELF*.  
IMO, this dualism was foreign to Marx and his work, so the attempts to develop 
his work or to "use" it that are premised on this dualism necessarily distort 
it, run into profound complications, create "internal contradictions" in his 
work, and give rise to entire research agendas devoted to solving the problems 
they have created themselves.  
IMO, the very concept of "Marxian (or -ist) economics" or "Marxian (or -ist) 
political economy" is premised on this positivism and runs into the problems 
it creates.  If you have a divorce between "science" and revolution, 
"economics" falls on the "science" side.  And if it is "science," it is 
neutral:  it does not *inherently* have a class character.  This leads to a 
notion of "Marxian economics" as more or less the mirror image of one or 
another "school" of bourgeois economics.  They give different answers, but 
different answers to much the same set of questions, because these are 
"neutral" questions that arise naturally in the course of pursuing the same 
scientific problematic.  Above all, the nearly exclusive reason for knowledge 
and theory is to *account for what exists*.
>From this perspective, one *necessarily* finds that Marx's "critique of 
political economy" is *theoretically* "incomplete," because it fails to 
address or even begs many of these questions, and gives peculiar, unsatisfying 
answers to others.  Thus, one has to develop a Marxist theory of this, a 
Marxist theory of that, a Marxist theory of the other.  My point is not that 
everything that needs to be solved is necessarily already solved once one 
abandons a positivist outlook and a positivist reading of Marx, but that the 
problematic changes, one's understanding of Marx's own answers changes, the 
areas that need development change, the dividing lines between theories 
change, and so on.
Once the "positive/normative" dichotomy is made, the implications of theory 
are *permitted* to mutate and to become inverted.   We are told that any 
"evaluation" can be made of any "fact."  More important, I think, is that the 
changed context, within which Marx's work is read, itself tends to give rise 
to a changed conception of the political-philosophical significance of its 
parts and the work as a whole.  In general, positivism rejects as unscientific 
the investigation into the MEANING of things, what they ARE, and seeks rather 
to "explain" them by giving an account of how they operate, i.e., their 
position in time and space.  
>From this perspective, for instance, the law of the FRP can look-and 
become!--"technical," concerned with predicting the movement in an economic 
variable rather more removed from immediate experience than unemployment 
rates, tax rates, etc.  What is lost is the *meaning* of the FRP to Marx:
"The _true barrier_ to capitalist production is _capital itself_.  It is that 
capital and its self-valorisation appear as the strating and finishing point, 
as the motive and purpose of production; production is production only for 
_capital_, and not the reverse, i.e. the means of production are not simply 
means for a steadily expanding pattern of life for the _society_ of the 
producers" (_Capital_ III, Vintage, 358).
The very "fact" of the tendency to a FRP is here a *critique* of the motive 
and purpose of the capitalist mode of production and an articulation of its 
absolute opposite, a new, human society.   I suggest that this is no less 
directly relevant to people's immediate experience than an analysis of 
poverty, and that it is *more* directly relevant to revolutionizing praxis, 
inasmuch as the latter requires not only knowledge of what one is against, but 
a vision of what one is fighting *for.*
Nor is discussion of the Okishio theorem a mere technical matter separate from 
all this.  As I wrote in my paper on the theorem in the Freeman/Carchedi 
volume (pp. 206-07):  "If indeed the production of capital as an end in itself 
is capitalist production's immanent barrier and source of crises, then '[t]he 
true realm of freedom, the development of human powers as an end in itself' 
[Capital III, Vintage, 959] is neither mere rhetoric nor utopian morality.  On 
the contrary, this humanist perspective becomes the concrete, practical 
alternative to capitalism and its unending crises, and not only as a goal, but 
also as the way to achieve it. ...
"The very opposite impact of the Okishio theorem has been to turn radical 
theorists' attention away from the capitalist mode of *production*, its labor 
process, and towards forms of distribution and competition. ... The theorem 
purports to demonstrate that, if the real wage rate remains constant, 
mechanization introduced by profit-maximising capitalists cannot, in and of 
itself, lower the equilibrium profit rate.  Thus, rising real wages are the 
true source of falling profitability."
I think Jerry's question, about how many workers have heard of the Okishio 
theorem, is really besides the point.  How many have heard of "surplus-value"? 
 The "real subsumption of labor under capital"?  Etc.  The real issue is 
whether this is all an intellectual game, or whether it has meaning for their 
lives, speaks to their concerns and aspirations, addresses things about which 
they want to know and, above all, helps point a direction out of the current 
morass.  Certainly they *do* know about, toil under, lose jobs under, the 
ideology of which the theorem is part and parcel, that increases in 
productivity are the solution to our economic problems, and that they must 
sacrifice today for prosperity tomorrow.  Meanwhile, how does the activist 
left, or what remains of it, respond?  Generally by marching everyone around 
for hours chanting inane distributionist slogans:  "Money for ____, not for 
____."    Even if this were based on an adequate analysis, it certainly 
wouldn't help develop a vision of an alternative way of working and living.
I basically agree with Jerry, therefore, when he writes:  "in our decisions 
about how to allocate our time on investigating theoretical issues, we should 
ask ourselves about the political significance of our investigations."   Yet I 
think that this formulation ignores another aspect, to me a more important 
one, of the debate on such things as the transformation and the Okishio 
theorem-the battle of ideas, which is not the same as theory.  As Ted and I 
wrote in our paper in the Freeman/Carchedi volume (p. 29):  "Our work ... is 
not intended to develop an alternative, non-equilibrium political economy.  
Rather we conceive our defence of Marx's account of the value-price 
transformation as an attempt to combat an ideological attack on his body of 
ideas and thus to create a place for its renewal, and as contributions to the 
*critique* of political economy on the foundations laid by Marx."  We go on to 
explain the latter as follows:  "whereas rival schools of economics primarily 
ague over which gives the best account of the functioning of existing society, 
_Capital_ does not merely criticize others' *conceptions* of reality.  It is a 
philosophical critique of economics, which critiques the existing reality of 
capitalism *itself*, including its thought, from the standpoint of an 
envisioned new, human society, the conditions for which develop through the 
struggles of revolutionary subjects within existing society.  Because its 
projects and concepts-and not only Marx's own opinions-are thus inherently 
critical, Marx's work becomes subject to distortion when forced into the mould 
of economic theory." 
I've quoted this latter part largely to flesh out my earlier remarks on 
positivism.  The point about "combat[ing] an ideological attack on Marx's body 
of ideas" is more pertinent to understanding the full significance of the 
debate.   The importance of this is, first, to set the historical record 
straight, and second, to allow *Marx's* Marxism to exist and to develop, own 
its own terms and in its own context.  IF IT IS PLAGUED BY INTERNAL 
INCONSISTENCY, IT CANNOT RIGHTLY EXIST, AND IF IT IS THOUGHT TO BE LOGICALLY 
FLAWED EVEN BY MARXISTS, IT WILL NOT EXIST.  Why do I care whether Marx's 
Marxism exists and develops, however?  The reason extends far beyond what Marx 
has to say about economics.  I think we are sorely in need of *Marx's 
philosophy of new human relations*, of which the critique of political economy 
is an inseparable dimension of the whole, in order to overcome the paralysis 
and hopelessness, the seeming eternality of capitalism, the seeming lack of an 
alternative, that grips thought today.  
Now, I'm not interested in technical details for their own sake (who is?), but 
when one is challenging a century-long consensus and asking that the record be 
set straight, one had better be right, down to the last dotted-i and 
crossed-t.  Even were I not concerned with this at all, those who do not wish 
to accept our conclusions (that the internal inconsistencies do not exist and 
that we have formalized Marx's value theory in a coherent way) see to it that 
we do work out the details.  As everyone on the list is aware, rather than our 
conclusions having been accepted and acted upon, objections concerning 
technical details continue to be raised, to which we have to respond.  
BTW, I think this process largely accounts for Marx's own care with technical 
details.  Issuing such a thorough challenge to bourgeois society as he did, he 
damned well had to get things right.  This attention to detail, however, can 
easily make it seem that he was developing an alternative political economy.
Jerry asks:  "how important is the task of working out those details in 
relation to the task of analyzing the multitude of other theoretical issues 
that have significance for working people today? ... How important is the task 
of developing yet another critique of the Okishio Theorem when for example we 
can't even articulate all of the determinants of inflation, unemployment, and 
poverty?"
I've tried to respond to most of this but, following up on my comments 
concerning positivism and Marx's philosophy, let me ask:  how important is the 
analysis of the multitude of economic issues and the articulation of the 
economic determinants of what exists as against the need to develop and 
articulate a vision of a new mode of life and labor?  It seems to me that in 
the history of Marxism, far more attention has been given to the former than 
to the latter (even when the latter is not rejected outright, or separated 
from "science") and that the most pressing problem of the day, which envelops 
and colors all the particular ones, is the thorough hegemony of capitalist 
ideology.  Knowing how things operate is necessary and good, but not good 
enough.  It only seems that way from the vantage-point of mechanistic 
thinking, which reasons that, to undo the effects, you undo the causes.  But 
to bring about a new human society, millions of downtrodden people must have 
confidence that they can change things fundamentally and they must have a 
goal, a vision of a wholly different future.  *By themselves*, no amount of 
analyses will help meet this challenge, I am afraid.
"But the *practice* of philosophy is itself *theoretical*.  It is the 
*critique* that measures the individual existence by the essence, the 
particular reality by the Idea" (Marx, _Collected Works_ I, p. 85).
Andrew Kliman