Theory of surplus value

Theory of surplus value

 The price of commodity produced is determined by

 the labour involved in that commodity. In the 

complex capitalist environment labourer provides his 

services to his boss in order to produce a commodity 

but in response to it he just gets a small chunk of the

 profit. The remaining profit goes to the boss or who 

is responsible to conducting that business. The 

theory of surplus value says that this labourer, his 

efforts are helpful, meaningful to the owner of that 

business as the surplus amount goes to the boss 

instead of that labourer who is actually responsible 

for carrying out the whole business. Thus, Karl Marx

 is of the view that a labourer and the person who is 

carrying out the business be treated on the equal 

grounds but the capitalist economy does not take 

care of this fact.