Classical Marxism refers to the body of theory directly expounded by Karl Marx and Friedrich Engels. The term "Classical Marxism" is often used to distinguish between "Marxism" as it is broadly understood and "what Marx believed", which is not necessarily the same thing. For example, shortly before he died in 1883, Marx wrote a letter to the French workers' leader Jules Guesde and to his own son-in-law Paul Lafargue, both of whom claimed to represent Marxist principles, in which he accused them of "revolutionary phrase-mongering" and of denying the value of reformist struggles. Paraphrasing Marx: "If that is Marxism, then I am not a Marxist". As the American Marx scholar Hal Draper remarked, "there are few thinkers in modern history whose thought has been so badly misrepresented, by Marxists and anti-Marxists alike.
The two first met in person in September 1844. They discovered that they had similar views on philosophy and on capitalism and decided to work together, producing a number of works including Die heilige Familie (The Holy Family). After the French authorities deported Marx from France in January 1845, Engels and Marx decided to move to Belgium, which then permitted greater freedom of expression than other countries in Europe. Engels and Marx returned to Brussels in January 1846, where they set up the Communist Correspondence Committee.
In 1847 Engels and Marx began writing a pamphlet together, based on Engels' The Principles of Communism. They completed the 12,000-word pamphlet in six weeks, writing it in such a manner as to make communism understandable to a wide audience, and published it as The Communist Manifesto in February 1848. In March, Belgium expelled both Engels and Marx. They moved to Cologne, where they began to publish a radical newspaper, the Neue Rheinische Zeitung. By 1849, both Engels and Marx had to leave Germany and moved to London. The Prussian authorities applied pressure on the British government to expel the two men, but Prime Minister Lord John Russell refused. With only the money that Engels could raise, the Marx family lived in extreme poverty.
After Marx's death in 1883, Engels devoted much of the rest of his life to editing and translating Marx's writings. He also contributed significantly to feminist theory and Marxist feminism in Origins of the Family, Private Property, and the State, conceiving, for instance, the concept of monogamous marriage as having arisen because of the domination of men over women. In this sense, he ties communist theory to the family, arguing that men have dominated women just as the capitalist class has dominated workers. Engels died in London in 1895.
Classical Marxism was influenced by a number of different thinkers. These thinkers can be divided roughly into 3 groups:
Other influences include:
Marx describes several social classes in capitalist societies, including primarily:
Marx also identified various other classes such as:
The Marxist theory of historical materialism understands society as fundamentally determined by the material conditions at any given time - this means the relationships which people enter into with one another in order to fulfill their basic needs, for instance to feed and clothe themselves and their families.. In general Marx and Engels identified five (and one transitional) successive stages of the development of these material conditions in Western Europe.
Western Marxism is a term used to describe a wide variety of Marxist theoreticians based in Western and Central Europe (and more recently North America), in contrast with philosophy in the Soviet Union, the Socialist Federal Republic of Yugoslavia or the People's Republic of China.
Structural Marxism is an approach to Marxism based on structuralism, primarily associated with the work of the French theorist Louis Althusser and his students. It was influential in France during the late 1960s and 1970s, and also came to influence philosophers, political theorists and sociologists outside of France during the 1970s.
Neo-Marxism is a school of Marxism that began in the 20th century and hearkened back to the early writings of Marx, before the influence of Engels, which focused on dialectical idealism rather than dialectical materialism. It thus rejected economic determinism being instead far more libertarian. Neo-Marxism adds Max Weber's broader understanding of social inequality, such as status and power, to orthodox Marxist thought.
The Frankfurt School is a school of neo-Marxist social theory, social research, and philosophy. The grouping emerged at the Institute for Social Research (Institut für Sozialforschung) of the University of Frankfurt am Main in Germany. The term "Frankfurt School" is an informal term used to designate the thinkers affiliated with the Institute for Social Research or influenced by them: it is not the title of any institution, and the main thinkers of the Frankfurt School did not use the term to describe themselves.
The Frankfurt School gathered together dissident Marxists, severe critics of capitalism who believed that some of Marx's alleged followers had come to parrot a narrow selection of Marx's ideas, usually in defense of orthodox Communist or Social-Democratic parties. Influenced especially by the failure of working-class revolutions in Western Europe after World War I and by the rise of Nazism in an economically, technologically, and culturally advanced nation (Germany), they took up the task of choosing what parts of Marx's thought might serve to clarify social conditions which Marx himself had never seen. They drew on other schools of thought to fill in Marx's perceived omissions.
Max Weber exerted a major influence, as did Sigmund Freud (as in Herbert Marcuse's Freudo-Marxist synthesis in the 1954 work Eros and Civilization). Their emphasis on the "critical" component of theory was derived significantly from their attempt to overcome the limits of positivism, crude materialism, and phenomenology by returning to Kant's critical philosophy and its successors in German idealism, principally Hegel's philosophy, with its emphasis on negation and contradiction as inherent properties of reality.
Cultural Marxism is a form of Marxism that adds an analysis of the role of the media, art, theatre, film and other cultural institutions in a society, often with an added emphasis on race and gender in addition to class. As a form of political analysis, Cultural Marxism gained strength in the 1920s, and was the model used by the Frankfurt School; and later by another group of intellectuals at the Centre for Contemporary Cultural Studies in Birmingham, England.
Autonomism is a term applied to a variety of social movements around the world, which emphasizes the ability to organize in autonomous and horizontal networks, as opposed to hierarchical structures such as unions or parties. Autonomist Marxists, including Harry Cleaver, broaden the definition of the working-class to include salaried and unpaid labor, such as skilled professions and housework; it focuses on the working class in advanced capitalist states as the primary force of change in the construct of capital. Modern autonomist theorists such as Antonio Negri and Michael Hardt argue that network power constructs are the most effective methods of organization against the neoliberal regime of accumulation, and predict a massive shift in the dynamics of capital into a 21st Century Empire.
Analytical Marxism refers to a style of thinking about Marxism that was prominent amongst English-speaking philosophers and social scientists during the 1980s. It was mainly associated with the September Group of academics, so called because they have biennial meetings in varying locations every other September to discuss common interests. The group also dubbed itself "Non-Bullshit Marxism" (Cohen 2000a). It was characterized, in the words of David Miller, by "clear and rigorous thinking about questions that are usually blanketed by ideological fog". (Miller 1996)
Marxist humanism is a branch of Marxism that primarily focuses on Marx's earlier writings, especially the Economic and Philosophical Manuscripts of 1844 in which Marx develops his theory of alienation, as opposed to his later works, which are considered to be concerned more with his structural conception of capitalist society. It was opposed by Louis Althusser's "antihumanism", who qualified it as a revisionist movement.
Marxist humanists contend that ‘Marxism’ developed lopsided because Marx’s early works were unknown until after the orthodox ideas were in vogue the Manuscripts of 1844 were published only in 1932 and it is necessary to understand Marx’s philosophical foundations to understand his latter works properly.
Although Marx was intensely critical of institutionalized religion including Christianity, some Christians accepted the basic premises of Marxism and re-interpreted their faith from this perspective. Some of the resulting examples are liberation theology and black liberation theology. Pope Benedict XVI strongly opposed radical liberation theology while he was still a cardinal, with the Vatican condemning acceptance of Marxism. Black liberation theologian James Cone wrote in his book For My People that "for analyzing the structure of capitalism. Marxism as a tool of social analysis can disclose the gap between appearance and reality, and thereby help Christians to see how things really are.
In his later work, he rejected orthodox (classical) Marxism as historically outmoded, wanting to adapt Marxism to a new historical situation. He wrote in his Ten Theses (1950) that "the first step in re-establishing a revolutionary theory and practice consists in breaking with that Marxism which claims to monopolize revolutionary initiative as well as theoretical and practical direction" and that "today, all attempts to re-establish the Marxist doctrine as a whole in its original function as a theory of the working classes social revolution are reactionary utopias.
Korsch was especially concerned that Marxist theory was losing its precision and validity - in the words of the day, becoming "vulgarized" - within the upper echelons of the various socialist organizations. His masterwork, Marxism and Philosophy is an attempt to re-establish the historic character of Marxism as the heir to Hegel.
Marcuse's critiques of capitalist society (especially his 1955 synthesis of Marx and Freud, Eros and Civilization, and his 1964 book One-Dimensional Man) resonated with the concerns of the leftist student movement in the 1960s. Because of his willingness to speak at student protests, Marcuse soon became known as "the father of the New Left," a term he disliked and rejected.
Sartre was also involved in Marxist politics and was impressed upon visiting Marxist revolutionary Che Guevara, calling him "not only an intellectual but also the most complete human being of our age".
His essay Marxism and Humanism is a strong statement of anti-humanism in Marxist theory, condemning ideas like "human potential" and "species-being," which are often put forth by Marxists, as outgrowths of a bourgeois ideology of "humanity." His essay Contradiction and Overdetermination borrows the concept of overdetermination from psychoanalysis, in order to replace the idea of "contradiction" with a more complex model of multiple causality in political situations (an idea closely related to Antonio Gramsci's concept of hegemony).
Althusser is also widely known as a theorist of ideology, and his best-known essay is Ideology and Ideological State Apparatuses: Notes Toward an Investigation. The essay establishes the concept of ideology, also based on Gramsci's theory of hegemony. Whereas hegemony is ultimately determined entirely by political forces, ideology draws on Freud's and Lacan's concepts of the unconscious and mirror-phase respectively, and describes the structures and systems that allow us to meaningfully have a concept of the self.
While some members of the group (most notably E.P. Thompson) left the CPGB after the 1956 Hungarian Revolution, the common points of British Marxist historiography continued in their works. They placed a great emphasis on the subjective determination of history. E. P. Thompson famously engaged Althusser in The Poverty of Theory, arguing that Althusser's theory overdetermined history, and left no space for historical revolt by the oppressed.
Post-Marxism represents the theoretical work of philosophers and social theorists who have built their theories upon those of Marx and Marxists but exceeded the limits of those theories in ways that puts them outside of Marxism. It begins with the basic tenets of Marxism but moves away from the Mode of Production as the starting point for analysis and includes factors other than class, such as gender, ethnicity etc, and a reflexive relationship between the base and superstructure.
Marxism remains a powerful theory in some unexpected and relatively obscure places, and is not always properly labeled as "Marxism." For example, many Mexican and some American archaeologists still cling to a Marxist model to explain the Classic Maya Collapse (c. 900 A.D.) - without mentioning Marxism by name.
According to Marxist theory, in capitalist societies the individual is shaped by class relations; that is, people's capacities, needs and interests are seen to be determined by the mode of production that characterises the society they inhabit. Marxist feminists see gender inequality as determined ultimately by the capitalist mode of production. Gender oppression is class oppression and women's subordination is seen as a form of class oppression which is maintained (like racism) because it serves the interests of capital and the ruling class. Marxist feminists have extended traditional Marxist analysis by looking at domestic labour as well as wage work in order to support their position.
The following countries had governments at some point in the twentieth century who at least nominally adhered to Marxism: Albania, Afghanistan, Angola, Benin, Bulgaria, Chile, China, Republic of Congo, Cuba, Czechoslovakia, East Germany, Ethiopia, Grenada, Hungary, Laos, Moldova, Mongolia, Mozambique, Nepal, Nicaragua, North Korea, Poland, Romania, Russia, the USSR and its republics, South Yemen, Yugoslavia, Venezuela, Vietnam. In addition, the Indian states of Kerala and West Bengal have had Marxist governments. Some of these governments such as in Venezuela, Nicaragua, Chile, Moldova and parts of India have been democratic in nature and maintained regular multiparty elections, while most governments claiming to be Marxist in nature have established authoritarian governments.
Marxist political parties and movements have significantly declined since the fall of the Soviet Union, with some exceptions, perhaps most notably Nepal.
Modern followers of Leon Trotsky maintain that as predicted by Lenin, Trotsky, and others already in the 1920s, Stalin's "socialism in one country" was unable to maintain itself, and according to some Marxist critics, the USSR ceased to show the characteristics of a socialist state long before its formal dissolution.
In the 1920s the economic calculation debate between Austrian Economists and Marxist economists took place. The Austrians claimed that Marxism is flawed because prices could not be set to recognize opportunity costs of factors of production, and so socialism could not make rational decisions.
Following World War II, Marxist ideology, often with Soviet military backing, spawned a rise in revolutionary communist parties all over the world. Some of these parties were eventually able to gain power, and establish their own version of a Marxist state. Such nations included the People's Republic of China, Vietnam, Romania, East Germany, Albania, Cambodia, Ethiopia, South Yemen, Yugoslavia, Cuba, and others. In some cases, these nations did not get along. The most notable examples were rifts that occurred between the Soviet Union and China, as well as Soviet Union and Yugoslavia (in 1948), whose leaders disagreed on certain elements of Marxism and how it should be implemented into society.
Many of these self-proclaimed Marxist nations (often styled People's Republics) eventually became authoritarian states, with stagnating economies. This caused some debate about whether marxism was doomed in practise or these nations were in fact not led by "true Marxists". Critics of Marxism speculated that perhaps Marxist ideology itself was to blame for the nations' various problems. Followers of the currents within Marxism which opposed Stalin, principally cohered around Leon Trotsky, tended to locate the failure at the level of the failure of world revolution: for communism to have succeeded, they argue, it needed to encompass all the international trading relationships that capitalism had previously developed.
The Chinese experience seems to be unique. Rather than falling under a single family's self-serving and dynastic interpretation of Marxism as happened in North Korea and before 1989 in Eastern Europe, the Chinese government - after the end of the struggles over the Mao legacy in 1980 and the ascent of Deng Xiaoping - seems to have solved the succession crises that have plagued self-proclaimed Leninist governments since the death of Lenin himself. Key to this success is another Leninism which is a NEP (New Economic Policy) writ very large; Lenin's own NEP of the 1920s was the "permission" given to markets including speculation to operate by the Party which retained final control. The Russian experience in Perestroika was that markets under socialism were so opaque as to be both inefficient and corrupt but especially after China's application to join the WTO this does not seem to apply universally.
The death of "Marxism" in China has been prematurely announced but since the Hong Kong handover in 1997, the Beijing leadership has clearly retained final say over both commercial and political affairs. Questions remain however as to whether the Chinese Party has opened its markets to such a degree as to be no longer classified as a true Marxist party. A sort of tacit consent, and a desire in China's case to escape the chaos of pre-1949 memory, probably plays a role.
In 1991 the Soviet Union collapsed and the new Russian state ceased to identify itself with Marxism. Other nations around the world followed suit. Since then, radical Marxism or Communism has generally ceased to be a prominent political force in global politics, and has largely been replaced by more moderate versions of democratic socialism—or, more commonly, by neoliberal capitalism. Marxism has also had to engage with the rise in the Environmental movement. A merging of Marxism, socialism, ecology and environmentalism has been achieved, and is often referred to as Eco-socialism.
Social democracy is a political ideology that emerged in the late 19th and early 20th century. Many parties in the second half of the 19th century described themselves as social democratic, such as the British Social Democratic Federation, and the Russian Social Democratic Labour Party. In most cases these were revolutionary socialist or Marxist groups, who were not only seeking to introduce socialism, but also democracy in un-democratic countries.
The modern social democratic current came into being through a break within the socialist movement in the early 20th century, between two groups holding different views on the ideas of Karl Marx. Many related movements, including pacifism, anarchism, and syndicalism, arose at the same time (often by splitting from the main socialist movement, but also by emerging of new theories.) and had various quite different objections to Marxism. The social democrats, who were the majority of socialists at this time, did not reject Marxism (and in fact claimed to uphold it), but wanted to reform it in certain ways and tone down their criticism of capitalism. They argued that socialism should be achieved through evolution rather than revolution. Such views were strongly opposed by the revolutionary socialists, who argued that any attempt to reform capitalism was doomed to fail, because the reformists would be gradually corrupted and eventually turn into capitalists themselves.
Despite their differences, the reformist and revolutionary branches of socialism remained united until the outbreak of World War I. The war proved to be the final straw that pushed the tensions between them to breaking point. The reformist socialists supported their respective national governments in the war, a fact that was seen by the revolutionary socialists as outright treason against the working class (Since it betrayed the principle that the workers "have no nation", and the fact that usually the lowest classes are the ones sent into the war to fight, and die, putting the cause at the side). Bitter arguments ensued within socialist parties, as for example between Eduard Bernstein (reformist socialist) and Rosa Luxemburg (revolutionary socialist) within the Social Democratic Party of Germany (SPD). Eventually, after the Russian Revolution of 1917, most of the world's socialist parties fractured. The reformist socialists kept the name "Social democrats", while the revolutionary socialists began calling themselves "Communists", and soon formed the modern Communist movement. (See also Comintern)
Since the 1920s, doctrinal differences have been constantly growing between social democrats and Communists (who themselves are not unified on the way to achieve socialism), and Social Democracy is mostly used as a specifically Central European label for Labour Parties since then, especially in Germany and the Netherlands and especially since the 1959 Godesberg Program of the German SPD that rejected the praxis of class struggle altogether.
Although there are still many Marxist revolutionary social movements and political parties around the world, since the collapse of the Soviet Union and its satellite states, very few countries have governments which describe themselves as Marxist. Although socialistic parties are in power in some Western nations, they long ago distanced themselves from their direct link to Marx and his ideas.
As of 2007, Laos, Vietnam, Cuba, and the People's Republic of China - and to a certain extent Venezuela had governments in power which describe themselves as socialist in the Marxist sense. However, the private sector comprised more than 50% of the mainland Chinese economy by this time and the Vietnamese government had also partially liberalised its economy. The Laotian and Cuban states maintained strong control over the means of production.
Alexander Lukashenko president of Belarus, has been quoted as saying that his agrarian policy could be termed as Communist. He has also frequently referred to the economy as being 'market socialism'. Lukashenko is also an unapologetic admirer of the Soviet Union.
North Korea is another contemporary socialist state, though the official ideology of the Korean Workers' Party (originally led by Kim Il-sung and currently chaired by his son, Kim Jong-il), Juche, does not follow doctrinaire Marxism-Leninism as had been espoused by the leadership of the Soviet Union.
Libya is often thought of as a socialist state; it maintained ties with the Soviet Union and other Eastern bloc and Communist states during the Cold War. Colonel Muammar al-Gaddafi, the leader of Libya, describes the state's official ideology as Islamic socialism, and has labeled it a third way between capitalism and communism.
In the United Kingdom, the governing Labour Party used to describe itself as a socialist political party and is a member of the socialist organisation, Socialist International. The Party was set up by trade unionists, revolutionary and reformist socialists such as the Social Democratic Federation and the socialist Fabian Society.
A number of states have declared an allegiance to the principles of Marxism and have been ruled by self-described Communist Parties, either as a single-party state or a single list, which includes formally several parties, as was the case in the German Democratic Republic. Due to the dominance of the Communist Party in their governments, these states are often called "communist states" by Western political scientists. However, they have described themselves as "socialist", reserving the term "communism" for a future classless society, in which the state would no longer be necessary (on this understanding of communism, "communist state" would be an oxymoron) for instance, the USSR was the Union of Soviet Socialist Republics. Marxists contend that, historically, there has never been any communist country.
Communist governments have historically been characterized by state ownership of productive resources in a planned economy and sweeping campaigns of economic restructuring such as nationalization of industry and land reform (often focusing on collective farming or state farms.) While they promote collective ownership of the means of production, Communist governments have been characterized by a strong state apparatus in which decisions are made by the ruling Communist Party. Dissident 'authentic' communists have characterized the Soviet model as state socialism or state capitalism.
Marxism-Leninism, strictly speaking, refers to the version of Marxism developed by Vladimir Lenin known as Leninism. However, in various contexts, different (and sometimes opposing) political groups have used the term "Marxism-Leninism" to describe the ideologies that they claimed to be upholding. The core ideological features of Marxism-Leninism are those of Marxism and Leninism, that is to say, belief in the necessity of a violent overthrow of capitalism through communist revolution, to be followed by a dictatorship of the proletariat as the first stage of moving towards communism, and the need for a vanguard party to lead the proletariat in this effort. It involves subscribing to the teachings and legacy of Karl Marx and Friedrich Engels (Marxism), and that of Lenin, as carried forward by Joseph Stalin. Those who view themselves as Marxist-Leninists, however, vary with regards to the leaders and thinkers that they choose to uphold as progressive (and to what extent). Maoists tend to downplay the importance of all other thinkers in favour of Mao Zedong, whereas Hoxhaists repudiate Mao.
Leninism holds that capitalism can only be overthrown by revolutionary means; that is, any attempts to reform capitalism from within, such as Fabianism and non-revolutionary forms of democratic socialism, are doomed to fail. The first goal of a Leninist party is to educate the proletariat, so as to remove the various modes of false consciousness the bourgeois have instilled in them, instilled in order to make them more docile and easier to exploit economically, such as religion and nationalism. Once the proletariat has gained class consciousness the party will coordinate the proletariat's total might to overthrow the existing government, thus the proletariat will seize all political and economic power. Lastly the proletariat (thanks to their education by the party) will implement a dictatorship of the proletariat which would bring upon them socialism, the lower phase of communism. After this, the party would essentially dissolve as the entire proletariat is elevated to the level of revolutionaries.
The dictatorship of the proletariat refers to the absolute power of the working class. It is governed by a system of proletarian direct democracy, in which workers hold political power through local councils known as soviets.
Trotsky advocated proletarian revolution as set out in his theory of "permanent revolution", and he argued that in countries where the bourgeois-democratic revolution had not triumphed already (in other words, in places that had not yet implemented a capitalist democracy, such as Russia before 1917), it was necessary that the proletariat make it permanent by carrying out the tasks of the social revolution (the "socialist" or "communist" revolution) at the same time, in an uninterrupted process. Trotsky believed that a new socialist state would not be able to hold out against the pressures of a hostile capitalist world unless socialist revolutions quickly took hold in other countries as well, especially in the industrial powers with a developed proletariat.
On the political spectrum of Marxism, Trotskyists are considered to be on the left. They fervently support democracy, oppose political deals with the imperialist powers, and advocate a spreading of the revolution until it becomes global.
Trotsky developed the theory that the Russian workers' state had become a "bureaucratically degenerated workers' state". Capitalist rule had not been restored, and nationalized industry and economic planning, instituted under Lenin, were still in effect. However, the state was controlled by a bureaucratic caste with interests hostile to those of the working class. Trotsky defended the Soviet Union against attack from imperialist powers and against internal counter-revolution, but called for a political revolution within the USSR to restore socialist democracy. He argued that if the working class did not take power away from the Stalinist bureaucracy, the bureaucracy would restore capitalism in order to enrich itself. In the view of many Trotskyists, this is exactly what has happened since the beginning of Glasnost and Perestroika in the USSR. Some argue that the adoption of market socialism by the People's Republic of China has also led to capitalist counter-revolution.
The term "Mao Zedong Thought" has always been the preferred term by the Communist Party of China, and the word "Maoism" has never been used in its English-language publications except pejoratively. Likewise, Maoist groups outside China have usually called themselves Marxist-Leninist rather than Maoist, a reflection of Mao's view that he did not change, but only developed, Marxism-Leninism. However, some Maoist groups, believing Mao's theories to have been sufficiently substantial additions to the basics of the Marxist canon, call themselves "Marxist-Leninist-Maoist" (MLM) or simply "Maoist".
In the People's Republic of China, Mao Zedong Thought is part of the official doctrine of the Communist Party of China, but since the 1978 beginning of Deng Xiaoping's market economy-oriented reforms, the concept of "socialism with Chinese characteristics" has come to the forefront of Chinese politics, Chinese economic reform has taken hold, and the official definition and role of Mao's original ideology in the PRC has been radically altered and reduced (see History of China).
Unlike the earlier forms of Marxism-Leninism in which the urban proletariat was seen as the main source of revolution, and the countryside was largely ignored, Mao believed that peasantry could be the main force behind a revolution, led by the proletariat and a vanguard Communist party. The model for this was of course the Chinese communist rural Protracted People's War of the 1920s and 1930s, which eventually brought the Communist Party of China to power. Furthermore, unlike other forms of Marxism-Leninism in which large-scale industrial development was seen as a positive force, Maoism made all-round rural development the priority. Mao felt that this strategy made sense during the early stages of socialism in a country in which most of the people were peasants. Unlike most other political ideologies, including other socialist and Marxist ones, Maoism contains an integral military doctrine and explicitly connects its political ideology with military strategy. In Maoist thought, "political power grows from the barrel of the gun" (a famous quote by Mao), and the peasantry can be mobilized to undertake a "people's war" of armed struggle involving guerrilla warfare in three stages.
Marx defined "communism" as a classless, egalitarian and stateless society. To Marx, the notion of a communist state would have seemed an oxymoron, as he defined communism as the phase reached when class society and the state had already been abolished. Once the initial stage of socialism had been established, society would develop new social relations over the course of several generations, reaching what Marx called the higher phase of communism when bourgeois relations had been abandoned. Such a development has yet to occur in any historical self-claimed socialist state.
Some argue that socialist states have contained two new distinct classes: those who are in government and therefore have power, and those who are not in government and do not have power. Sometimes, this is taken to be a different form of capitalism, in which the government, as owner of the means of production, takes on the role formerly played by the bourgeois class; this arrangement is referred to as "State capitalism". These statist regimes have generally followed a command economy model without making a transition to this hypothetical final stage.
Marx and Engels never dedicated much work to show how exactly a communist economy would function, leaving Marxism, at least in its classical form, a "negative ideology," concerned primarily with criticism of the status quo. Later generations of Marxists have attempted to fill in the gap, resulting in several different and competing Marxist views of the way a communist society should be organized.
Prominent economist Milton Friedman is of the opinion that free markets are the best and most efficient way of running the economy for the benefit of all. In the economic calculation debate between Austrian Economists and Marxist economists, the Austrians claimed that Marxism is flawed because prices could not be set to recognize opportunity costs of factors of production, and so socialism could not make rational decisions.
Individualists disagree with the basic approach of Marxism, that of viewing all people as acting under the influence of socio-economic forces, and instead focus on the differences and unpredictable actions of individuals.
Most thinkers on the left have rejected the fundamentals of Marxist theory, such as historical materialism and the labour theory of value, and gone on to criticize capitalism - and advocate socialism - using other arguments. Some contemporary supporters of Marxism argue that many aspects of Marxist thought are viable, but that the corpus also fails to deal effectively with certain aspects of economic, political or social theory.