concerned chiefly with an exposition of the socialist doctrine.

126. ECONOMIC INTERPRETATION OF HISTORY.--Formerly a great principle
of socialism was the claim that all history has been determined by
economic forces. According to this view, our whole social and
political life, including our basic ideas concerning religion, art,
science, and government, are only the reflected result of economic
forces. History, Marx contended, is the record of how one class has
gained wealth and power at the expense of another class. The present
state of society, he asserted, is the result of the exploitation of
the masses by a few.

With this principle we need not further concern ourselves. It is an
academic appendage to the socialist doctrine, and at the present time
is not stressed by socialists. The majority of socialists now concede
that while economic forces have been important in history, social,
religious, and political forces are also important. In view of this
admission, the chief importance of the doctrine of the economic
interpretation of history is its theoretical connection with the two
great cornerstones of socialism: the theory of surplus value, and the
theory of class struggle.

127. THEORY OF SURPLUS VALUE.--Marx claimed that practically all
wealth has been created by the laborers alone, and that all persons
other than laborers are parasites. To those who have carefully studied
Chapter VIII the error of this claim must appear self-evident,
nevertheless, this concept of value is the basis of all socialist
attacks upon government and industry. Marx developed this theory as
follows: