by Kerschagl
[Title Page and Table of Contents]: The front matter of Richard Kerschagl's 1933 critique of Marxism, including the title page and a detailed table of contents outlining the work's focus on value theory, economic calculation, and ideology. [Preface: The Scientific Critique of Marxist Logic]: Kerschagl introduces his objective but 'relentless' critique of the Marxist economic system, arguing that it is riddled with logical contradictions. He outlines the book's structure—covering value theory, economic calculation, and ideology—and positions his work within the tradition of scholars like Böhm-Bawerk and Spann who have challenged Marxist foundations. [The Contradictions of the Marxist Theory of Value]: Kerschagl critiques Marx's value theory as the 'absurd' foundation of his system. He argues that Marx conflates cause and effect by ignoring utility and teleology in favor of a flawed cost-based labor theory. Kerschagl highlights internal contradictions in 'Das Kapital' regarding how labor creates value and the vague definition of 'socially necessary labor time.' [The Problem of Labor and Entrepreneurial Activity]: This section examines the ambiguity of the term 'labor' in Marxism. Kerschagl criticizes Marx for dismissing entrepreneurial labor as 'supervision' and for defining the proletariat solely through the lens of wage labor. He argues that Marx's attempt to quantify complex labor into simple labor 'behind the backs of producers' is a logical failure that relies on the very price mechanisms Marx seeks to explain away. [The Exchange Problem and the Rejection of Quantity]: Kerschagl analyzes Marx's failure to account for the 'quantity problem' in value. He argues that Marx's view—that increased productivity increases use-value but leaves total exchange-value unchanged—is economically untenable. He contrasts Marx's rigid objective value with the subjective utility approach, asserting that Marx's theory cannot explain actual price formation on the market. [Marxist Monetary Theory and Its Failures]: Kerschagl critiques Marx's monetary theory as a primitive form of metallism rooted in the labor theory of value. He argues that Marx wrongly views money (gold) as having intrinsic value based on labor, failing to understand money's functional role as a medium of exchange. Kerschagl dismisses Marx's 'quantity theory' because it ignores the impact of money supply on prices, treating money as a mere technical reflection of pre-existing labor values. [The Problem of Profitability in Marx's System]: Kerschagl critiques Marx's failure to address the problem of profitability (Rentabilität) within a socialist system. He argues that Marx conflates profitability with surplus value and private profit, failing to realize that even a socialist state must distinguish between costs and utility to ensure economic efficiency. The author highlights the practical difficulties of determining socially necessary labor time across different factories with varying technical efficiencies and the necessity of covering deficits in unprofitable enterprises with surpluses from others, which reintroduces the logic of profitability. [Scarcity of Means and Economic Rationality]: This section addresses the Marxist denial of resource scarcity, arguing that even a socialist state faces relative scarcity, especially given its expanded social goals. Kerschagl asserts that ignoring the proportionality of means to ends leads to economic irrationality. He also notes that Marxists overlook how the price of raw materials and labor (wages) are inextricably linked to the final product's price, making economic calculation impossible without a clear relationship between wages and prices. [The Imputation Problem and Factors of Production]: Kerschagl examines the 'imputation problem' (Zurechnungsproblem), criticizing Marx for recognizing only labor as a productive factor while ignoring capital and land. He argues that Marx confuses imputation (determining a factor's contribution) with distribution (who receives the reward). By treating capital as 'pre-performed labor' that deserves no further return, Marxism creates a system where capital-intensive production appears costless, leading to a breakdown in rational business accounting and capital maintenance. [Wages, Entrepreneurial Profit, and Labor Value]: The author discusses the contradictions in Marxist wage theory, specifically the conflict between the 'right to the full yield of labor' and the 'principle of alimentation' (needs-based distribution). He argues that without accounting for capital regeneration, the full yield cannot be distributed. Furthermore, he critiques Marx's dismissal of entrepreneurial and managerial labor as mere 'pleasure' or 'supervision,' noting that Marxism lacks a technical method to convert complex qualitative labor into uniform quantitative labor units. [The Role of the Entrepreneur and Capital Concentration]: Kerschagl critiques Marx's outdated view of the entrepreneur as a mere exploiter. He argues that the 'iron law of wages' is empirically false and that Marx failed to foresee the modern separation of ownership and management in joint-stock companies. The author also challenges the 'law of capital concentration,' noting natural limits to trust formation. Finally, he discusses the impossibility of capital formation in a socialist state without taxes or private profit, suggesting such states might resort to inflation. [The Ideology of Class Struggle and Social Disintegration]: This section explores the destructive social and political consequences of the class struggle ideology. Kerschagl argues that Marxism creates a 'state within a state' by isolating the proletariat through separate organizations, schools, and legal views. He critiques the materialist view that places economy above culture and power above law, citing Hans Kelsen's legal theory as a formalist reflection of this. The ideology is described as inherently anti-national, anti-religious, and ultimately anti-productive. [Marxism and Liberalism: Shared Roots and Theoretical Failures]: Kerschagl argues that Marxism is not a radical departure from Liberalism but rather a reformulation of its classical tenets. He traces Marx's labor theory of value and wage theories back to Smith, Ricardo, and Malthus. Both systems share an individualistic 'atomism,' a focus on material production over purpose, and a belief in the quantification of quality. The author concludes that Marx actually represents a theoretical regression compared to contemporaries like Ricardo or Carey, particularly regarding money and scarcity. [Marxism and Utopianism: Shared Concepts and Fundamental Differences]: This section compares Utopian socialism with Marxism, identifying shared concepts such as the pursuit of equality and the implementation of a planned economy. However, Kerschagl highlights sharp contrasts: Utopianism is characterized by idealism, religious affinity, and a focus on social cooperation, whereas Marxism is rooted in materialism, atheism, and the necessity of class struggle. The author argues that while Utopians like Owen and Fourier attempted practical experiments and valued intellectual labor, Marxists remain dogmatic, focus solely on manual labor, and lack a concrete vision for the future state beyond the 'expropriation of the expropriators.' [Marxist Socialism and Communism: Illusory Distinctions]: Kerschagl analyzes the alleged differences between Marxist socialism and Communism, concluding they are essentially identical. He dismisses the distinctions between 'evolutionary' and 'revolutionary' paths as purely dialectical, noting that both systems rely on the subversion of existing orders. He critiques the Marxist use of 'democracy' as a tool for minority dictatorship and argues that both ideologies are fundamentally antireligious due to their materialist foundations. The text concludes with a call to defend the 'national body' against the 'Marxist disease' through spiritual and, if necessary, physical force, celebrating the perceived defeat of Marxism by National Socialism.
The front matter of Richard Kerschagl's 1933 critique of Marxism, including the title page and a detailed table of contents outlining the work's focus on value theory, economic calculation, and ideology.
Read full textKerschagl introduces his objective but 'relentless' critique of the Marxist economic system, arguing that it is riddled with logical contradictions. He outlines the book's structure—covering value theory, economic calculation, and ideology—and positions his work within the tradition of scholars like Böhm-Bawerk and Spann who have challenged Marxist foundations.
Read full textKerschagl critiques Marx's value theory as the 'absurd' foundation of his system. He argues that Marx conflates cause and effect by ignoring utility and teleology in favor of a flawed cost-based labor theory. Kerschagl highlights internal contradictions in 'Das Kapital' regarding how labor creates value and the vague definition of 'socially necessary labor time.'
Read full textThis section examines the ambiguity of the term 'labor' in Marxism. Kerschagl criticizes Marx for dismissing entrepreneurial labor as 'supervision' and for defining the proletariat solely through the lens of wage labor. He argues that Marx's attempt to quantify complex labor into simple labor 'behind the backs of producers' is a logical failure that relies on the very price mechanisms Marx seeks to explain away.
Read full textKerschagl analyzes Marx's failure to account for the 'quantity problem' in value. He argues that Marx's view—that increased productivity increases use-value but leaves total exchange-value unchanged—is economically untenable. He contrasts Marx's rigid objective value with the subjective utility approach, asserting that Marx's theory cannot explain actual price formation on the market.
Read full textKerschagl critiques Marx's monetary theory as a primitive form of metallism rooted in the labor theory of value. He argues that Marx wrongly views money (gold) as having intrinsic value based on labor, failing to understand money's functional role as a medium of exchange. Kerschagl dismisses Marx's 'quantity theory' because it ignores the impact of money supply on prices, treating money as a mere technical reflection of pre-existing labor values.
Read full textKerschagl critiques Marx's failure to address the problem of profitability (Rentabilität) within a socialist system. He argues that Marx conflates profitability with surplus value and private profit, failing to realize that even a socialist state must distinguish between costs and utility to ensure economic efficiency. The author highlights the practical difficulties of determining socially necessary labor time across different factories with varying technical efficiencies and the necessity of covering deficits in unprofitable enterprises with surpluses from others, which reintroduces the logic of profitability.
Read full textThis section addresses the Marxist denial of resource scarcity, arguing that even a socialist state faces relative scarcity, especially given its expanded social goals. Kerschagl asserts that ignoring the proportionality of means to ends leads to economic irrationality. He also notes that Marxists overlook how the price of raw materials and labor (wages) are inextricably linked to the final product's price, making economic calculation impossible without a clear relationship between wages and prices.
Read full textKerschagl examines the 'imputation problem' (Zurechnungsproblem), criticizing Marx for recognizing only labor as a productive factor while ignoring capital and land. He argues that Marx confuses imputation (determining a factor's contribution) with distribution (who receives the reward). By treating capital as 'pre-performed labor' that deserves no further return, Marxism creates a system where capital-intensive production appears costless, leading to a breakdown in rational business accounting and capital maintenance.
Read full textThe author discusses the contradictions in Marxist wage theory, specifically the conflict between the 'right to the full yield of labor' and the 'principle of alimentation' (needs-based distribution). He argues that without accounting for capital regeneration, the full yield cannot be distributed. Furthermore, he critiques Marx's dismissal of entrepreneurial and managerial labor as mere 'pleasure' or 'supervision,' noting that Marxism lacks a technical method to convert complex qualitative labor into uniform quantitative labor units.
Read full textKerschagl critiques Marx's outdated view of the entrepreneur as a mere exploiter. He argues that the 'iron law of wages' is empirically false and that Marx failed to foresee the modern separation of ownership and management in joint-stock companies. The author also challenges the 'law of capital concentration,' noting natural limits to trust formation. Finally, he discusses the impossibility of capital formation in a socialist state without taxes or private profit, suggesting such states might resort to inflation.
Read full textThis section explores the destructive social and political consequences of the class struggle ideology. Kerschagl argues that Marxism creates a 'state within a state' by isolating the proletariat through separate organizations, schools, and legal views. He critiques the materialist view that places economy above culture and power above law, citing Hans Kelsen's legal theory as a formalist reflection of this. The ideology is described as inherently anti-national, anti-religious, and ultimately anti-productive.
Read full textKerschagl argues that Marxism is not a radical departure from Liberalism but rather a reformulation of its classical tenets. He traces Marx's labor theory of value and wage theories back to Smith, Ricardo, and Malthus. Both systems share an individualistic 'atomism,' a focus on material production over purpose, and a belief in the quantification of quality. The author concludes that Marx actually represents a theoretical regression compared to contemporaries like Ricardo or Carey, particularly regarding money and scarcity.
Read full textThis section compares Utopian socialism with Marxism, identifying shared concepts such as the pursuit of equality and the implementation of a planned economy. However, Kerschagl highlights sharp contrasts: Utopianism is characterized by idealism, religious affinity, and a focus on social cooperation, whereas Marxism is rooted in materialism, atheism, and the necessity of class struggle. The author argues that while Utopians like Owen and Fourier attempted practical experiments and valued intellectual labor, Marxists remain dogmatic, focus solely on manual labor, and lack a concrete vision for the future state beyond the 'expropriation of the expropriators.'
Read full textKerschagl analyzes the alleged differences between Marxist socialism and Communism, concluding they are essentially identical. He dismisses the distinctions between 'evolutionary' and 'revolutionary' paths as purely dialectical, noting that both systems rely on the subversion of existing orders. He critiques the Marxist use of 'democracy' as a tool for minority dictatorship and argues that both ideologies are fundamentally antireligious due to their materialist foundations. The text concludes with a call to defend the 'national body' against the 'Marxist disease' through spiritual and, if necessary, physical force, celebrating the perceived defeat of Marxism by National Socialism.
Read full text