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Explaining Capitalism: The Method of Marx's Political Economy

The central thesis of this article is that Marx's explanation of the significant phenomena of the capitalist economy draws upon a basic theoretical syntax of a determinist/latent functionalist type. This conclusion has three consequences. First, it extends the range of functionalist explanation in Marx beyond its traditional loci, namely the theory of history and the analysis of the role of the state and other institutions in stabilizing capitalism, into the very heart of Marx's project, his political economy. Secondly, it has a powerful, though indirect, impact on our understanding of what might loosely be called the normative component of Marx's writings in as much as it identifies a specific sort of unfreedom peculiar to capitalist society. Thirdly, it shows just how great a challenge is mounted against Marx's project by those who seek to recast its method of explanation along methodological individualist lines. For if the first two points are accurate, rational-choice Marxists are drawn into a critique of both the explanatory and normative core of Marxism.