Does Capitalist Development Follow the Productivity Criterion: An Annotation on the Theory of Relative Surplus Value Production

The law of relative surplus value production is generally considered to explain the dynamic efficiency of capitalism, but there is doubt as to whether the capitalist production could always promote technological progress according to Karl Marx. Based on an analysis of Das Kapital and the manuscripts regarding technological change, this paper clarifies that a higher profit rate, rather than extra surplus value, is the basis for capitalists adopting new technologies. This criterion for technological selection may lead to partial technological regression, creating a scenario of “contradictory movement” on relative surplus value production and the development of capitalist productive forces. Based on this analysis, this paper utilizes available input-output data to assess the development of labor productivity in the United States from 2000 to 2022. This study found that although labor productivity in the US has generally been increasing, when examined by sector and year, only 64.6% of technological change met the productivity criterion, which is in contrast with the 78.6% matched of the profit rate criterion, thus corroborating the limitations of capitalism in hindering technological progress. These findings inspire us to prevent these disadvantages relying on the positive function of the state-owned economy and an empowered government in the practice of developing a socialist market economy.