1. The distinction that reading 4.3 makes between owners and employees is owners have a higher income, compared to the employees who work for owners. Owners refer to both the fabulously wealthy stockholders of giant corporations and the struggling proprietors of small stores. Owners basically live mostly off investments, which include stocks, bonds, rents, mineral royalties and other property income. Employees, on the other hand, include professionals and managers who in income, education, and lifestyle tend to be identified as “middle” or “upper-middle” class.
2. Adam Smith is saying that all labor has a different value in money. He gives an example where he says a tree is transformed into a profitable commodity such as paper or furniture and the labor that goes into harvesting the timber, cutting the lumber, manufacturing, shipping, advertising, and selling the finishing product and so on.
3. I think that being in a certain “class” makes people judgmental. For example, just because you have billions of dollars in your account, that person might think that they are better than everyone around them just because they have that much money in their account. We should not let class define who we are as a person.
4. The argument of the statement is that class structures are placed based on how dependent we are based on our income. The more money we makes, the less dependency we have on others. I think this would be the liberal dependence. For example, liberals would view dependency based on your income, wealth, education and where you are on the social ladder.

1. What is the distinction that Reading 4.3 makes between owners and employees? Give an example of each.

Owners are individuals that own businesses, investments, companies, and real estate. Employees are hire by owners to work in the business.

Owners- They own the business like a tailor shop; they hire seamstresses and front desk. They get all the items needed for business.

Employees- They do the work, tailor the clothes, receive the clothes and make the tickets. They report back to owner for anything.

2. How do you understand the quote by Adam Smith on pg. 28? What is it saying about labor?

“labor … is alone the ultimate and real standard by which the value of
all commodities can at all times and places be estimated and compared. It is
their real price; money is their nominal price only.”

Anything we use or consume is labor because someone made it, looked for it, and grew it. without manufacture everything would come to a halt.

3. What are your thoughts on the main argument of Reading 4.4 that class is NOT an identity?

I agree with the article that class is more of a system defined by ownership, privilege, and power. Class and identity intersect, but class itself is not an identity. Because social class can always be changed depending on the person and their education and where they live.

4. How do you understand the argument Reading 4.4. makes when stating that “class structures are built around a close form of dependency”? What is this close form of dependency, and can you think of an example?

We stay where we are because we are comfortable and remain stabilized. One quote can be “dont’t fix it if it is not broken” which mostly means that why would we change something when everything is going well. Many people with steady business will stay put because income is well and do not want to change anything because it might change things later either good or bad

1. What is the distinction that Reading 4.3 makes between owners and employees? Give an example of each.

Reading 4.3 highlights the socialist view of class as it explores the divide between owners and employees. According to the socialist perspective, class is a structural position that forces people to follow specific principles rather than just being a matter of socioeconomic standing. An employee is someone who has to sell their labor in order to survive, whereas an owner is a capitalist who controls the tools of production.

2. How do you understand the quote by Adam Smith on pg. 28? What is it saying about labor?

According to Reading 4.3’s interpretation of the Adam Smith quotation on page 28, class includes more than simply economic status; it also involves power dynamics. It suggests that people’s behaviors and interests are influenced by their social status. The quote illustrates the idea that there is a fundamental difference between the interests of capitalists and workers in the context of labor.

3. What are your thoughts on the main argument of Reading 4.4 that class is NOT an identity?

The main point of Reading 4.4 is that class is not seen as an identity, with an emphasis on the differences between the owning class—those who own wealth—and the employee class—those who are employed. The argument argues that the growth of wealth is essentially the result of other people’s labor and highlights the deep impact that capitalism has had on political and social life.

4. How do you understand the argument Reading 4.4. makes when stating that “class structures are built around a close form of dependency”? What is this close form of dependency, and can you think of an example?

“Class structures are built around a close form of dependency” suggests that the wealth of the owning class comes from the labor of the employee class. The economic structure that allows the owning class to profit from the extra value produced by laborers’ labor is the source of this personal kind of dependency. The author highlights the disparity in the distribution of the value generated when he points out that employees often put in more hours for their employers than for themselves. The economic connection in which the owning class depends on the work of the employee class in order to make profits is referred to as the close form of dependency in Michael Parenti’s theory. Because of this dependence, there is a clear correlation between the exploitation of labor and the growth of wealth. The example given is that workers contribute significantly to the value generated in manufacturing, but they only receive a portion of the market value that their labor creates; the owners keep the other portion as profits.

1. What is the distinction that Reading 4.3 makes between owners and employees? Give an example of each. 

Individuals who own and manage capital, or the means of production, in capitalist countries have significant social and economic advantages over others who are dependent on the sale of their labor to support themselves. The disparity in power and money between owners and employees is emphasized by this gap. Owners profit from their companies and investments, and employees receive wages or salaries in exchange for their labor.

2. How do you understand the quote by Adam Smith on pg. 28? What is it saying about labor?  

Adam Smith’s quote means to me that Money is just a notional representation of a commodity’s value; work is the genuine measure of that value. 

3. What are your thoughts on the main argument of Reading 4.4 that class is NOT an identity? 

I agree with the author that class is a result of social dynamics and economic institutions rather than an identity in a traditional way. Addressing economic injustice and promoting social change require a strong sense of class consciousness and solidarity. 

4. How do you understand the argument Reading 4.4. makes when stating that “class structures are built around a close form of dependency”? What is this close form of dependency, and can you think of an example? 

According to the idea, classes are not separate units but rather tightly connected through interdependent systems which impact how economic and social connections function within a community. The term “close form of dependency” describes how capitalists and workers are mutually dependent on one another in a capitalist economy. For example, laborers rely on businessmen for work and a living, and capitalists depend on laborers to make things. 

1.) The owning class makes their money by having others work for them. They live off of extremely high salaries and make investments to keep a high income for themselves. Employees on the other hand live off of the wages and salary supplied to them. They work for the owners and are the main reason that the owners can make their money.

2.) Adam Smith’s quote is best understood by establishing that labor is much more fruitful than money itself. If you have people who can work for you and do the work for you, money will come naturally and be more efficient than otherwise. Labor is the wealthiest form of currency.

3.) I agree to an extent that class is NOT an identity. My reasoning for this is that I feel like an identity typically follows you throughout the rest of your life. You can always change your social class by applying yourself to do things differently and potentially get a better job. It is easier said than done. However, as Americans, we have equal opportunities to apply ourselves to reach a different social class rather than relying on handouts and the bare minimum just to survive. We all have access to the resources provided. I also believe that it can be seen as an identity as everyone is typically born into a class. It is up to that individual to stay there or elevate their status.

4.) The dependency on class structures indicates that we are comfortable with allowing ourselves to remain stabilized. A perfect example of this is “Don’t fix what ain’t broke.” If people are comfortable where they are, they will continue staying there. I feel this is especially the case when people don’t know what else is out there for them and they stay within a family business because it’s really all they know. People are afraid of change.

1) Owners are individuals or entities that possess capital assets such as land, factories, businesses, or financial investments. They typically control the means of production and derive income from the ownership of these assets. Owners may include entrepreneurs, shareholders of corporations, landlords, or investors. Their primary source of income is most likely from profits, dividends, rents, or capital gains. Whereas laborers are individuals who provide their labor or services in exchange for wages, salaries, or fees. They contribute their time, skills, and efforts to the production process but do not own the means of production. Laborers may include employees working in various sectors such as manufacturing, services, agriculture, factories, or professional fields. Their primary source of income is earned through their labor and is typically determined by market forces and employment contracts.

2) Adam Smith was emphasizing that the true value of commodities is fundamentally tied to the amount of labor invested in their production. The more labor-intensive a commodity is, the higher its value is perceived to be. Second, while monetary prices provide a convenient means of exchange and measurement, they may not always accurately reflect the true value contributed by labor. Lastly, it suggests that without the input of labor, commodities would lack value, regardless of their monetary prices.

3) The idea that class is not an identity makes me think about how social groups are divided and how class mixes with other parts of who we are, like our race or gender. It shows us that class is more than just being rich or poor, it’s about how we fit into society based on things like our job or how much money we have. Understanding this helps us see how class affects many different parts of our lives, like where we live or what opportunities we have. It’s important because it helps us see how class differences play out in society, not just in terms of money, but also in how people are treated and what chances they get.

4) The quote illustrates how various classes within society are interconnected through relationships of dependence, where each class relies on the other for certain economic functions or resources. For example, landlords and tenants, landlords depend on tenants to occupy and maintain their properties, generating rental income for landlords. Tenants, on the other hand, rely on landlords for housing accommodation and must pay rent to maintain their housing security. This relationship demonstrates the interdependence between property owners and renters within the housing market.

1. Reading 4.3 makes a distinction between the “owning class” and “employees” based on the source and type of their income. The owning class, often very wealthy families and individuals, typically derive their income from investments, which include stocks, bonds, rents, mineral royalties, and other forms of property income. In contrast, employees earn their income through wages, salaries, and fees for the labor they provide.
   
   An example of someone from the owning class could be a person who owns significant shares in a large corporation, earning income from dividends and stock appreciation without being involved in the day-to-day operations of the business.
   
   An example of an employee could be a factory worker who earns a salary by operating machinery to produce goods. This worker is paid for their labor, not from any capital investments they might own.
2. Adam Smith stated that labor is the true measure of the value of all commodities. It’s the actual cost of items, while money is just a name we put on that value. He means that the work people do to make something, like turning a tree into paper or furniture, is what gives it its value. The work includes cutting the tree, making the product, and all the steps until it’s sold. This idea suggests that the effort and time of workers are what really create value, not just the materials used​​.
3. Reading 4.4 challenges the notion that class is just an identity, arguing instead that it’s a structure influencing people’s actions and interests within society. Socialists view class as more than a label people use to describe themselves; they see it as a fundamental part of the power dynamics in capitalist societies. Class, according to socialists, dictates specific actions and creates common interests among those who share a structural position, either as capitalists or workers. This perspective holds that while class can form the basis of identity, similar to race or gender, it’s also about one’s relationship to the means of production and the power structures that emerge from it.
4. Reading 4.4 discusses how class structures create a form of close dependency between different groups, particularly between workers and capitalists. This dependency isn’t just conceptual; it’s a practical, everyday reality where workers depend on capitalists for jobs, and capitalists rely on workers to produce goods or services and generate profits. This creates a mutual but imbalanced relationship, where the power typically favors the capitalists due to their control over jobs and resources.
   
   An example of this close form of dependency can be seen in traditional manufacturing industries. Workers depend on factory owners for employment, while the owners depend on the labor of these workers to produce goods. Without the workers, the factory cannot operate and produce goods for sale, and without the factory, the workers do not have jobs and incomes. However, the balance of power in this dependency leans heavily towards the capitalists, as they own the means of production and often have more options than the individual worker, highlighting the inequality embedded within class structures​​.

1. What is the distinction that Reading 4.3 makes between owners and employees? Give an example of each.
2. How do you understand the quote by Adam Smith on pg. 28? What is it saying about labor?
3. What are your thoughts on the main argument of Reading 4.4 that class is NOT an identity?
4. How do you understand the argument Reading 4.4. makes when stating that “class structures are built around a close form of dependency”? What is this close form of dependency, and can you think of an example?

1. In Reading 4.3, Parenti refers to owners as those whose “income is very large and comes mostly from the labor of other people” and employees as those who “live mostly off wages, salaries, and fees” (27-28). He uses the publishing of a book as an example: the author, editor, printer, etc. are employees, and “those who own the publishing house and who contribute nothing to the book’s value” are owners.

2. Parenti’s reference to Adam Smith is as follows: “labor … is alone the ultimate and real standard by which the value of all commodities can at all times and places be estimated and compared. It is their real price; money is their nominal price only.” The monetary price of a commodity is nominal in that it is arbitrary. Any commodity is worth what someone is willing to pay for it, and that price may or may not be indicative of what it took to produce that commodity. One might be born into money, but never with it –thus the time and effort (labor) that someone put into something is its “real price”, as that is all that we innately have to give, and without labor, there could be no commodity.

3. I think the argument that class is not an identity is coherent when the definition of ‘class’ is clarified, which Parenti does in Reading 4.4: “class refers to an entire structure that imposes very specific logics of action on people in society” (2). However, because the socialist definition of class is so different from its colloquial use, it should be of little surprise that there exists a terminological disagreement between liberals and socialists as Parenti defines them.

4. My understanding of Parenti’s statement that “class structures are built around a close form of dependency” is that the classes he describes in the text — owners and workers — depend on each other. He summarizes it well on page 5: to “be a worker means, necessarily, to be dependent on a given capitalist or firm for a job. Similarly, to be a capitalist means to be engaged in the ongoing exploitation of particular workers in order to maintain that position”.

1/

What is the distinction that Reading 4.3 makes between owners and employees? Give an example of each.

I feel one difference is similar to the wealth and saying of wealth labels. Owners own business or entities that will then employees you or us per salary and receive a large portion of profit. Capital opposed to labor.

The employees have things like salary, fee and wages. While owners have stocks, bonds, royalties and more.

The founder of a corporation – owner snd hires you to work.

The manager of the company – still doing labor or working.

2/

How do you understand the quote by Adam Smith on pg. 28? What is it saying about labor?

Not sure but maybe it means that labor is the only thing comparable. The money exist separate and doesn’t connect to the true value of your labor. The true value and standard of commodities should be measured by that and not represented by money.

3/

What are your thoughts on the main argument of Reading 4.4 that class is NOT an identity?

In my opinion I think somebody’s status based on finance, education or place they live doesn’t determine their identity. We can say it contributes or propels some but not entirely. Wealth doesn’t separate you from the being of gender or identity, it just places you in a category on the higher percentile of rich or wealthy but doesn’t separate black, gay, male or female. Class is not an identity. 

4/
How do you understand the argument Reading 4.4. makes when stating that “class structures are built around a close form of dependency”? What is this close form of dependency, and can you think of an example?

I think it means that it’s build or organized placement is based around what’s to be expected or what you have. What is to be expected or asked about these people per their circumstances, offering air maybe requirements. 

One example – if somebody makes less than $40,000 a year you wouldn’t expect or give them the requirements of somebody making $140,000 yearly because of their dependency.