1- The distinction that Reading 4.3 makes between owners and employees.

“Small businesses are just so many squirrels dancing among the elephants,” as Michael Parenti puts it in Democracy for the Few, underscores the imbalance of power between owners and employees in the capitalist system. The distinction between these two groups is rooted in their control over resources and their roles in wealth production. Owners, or capitalists, control the means of production, such as factories, land, or technology, and accumulate profits primarily through the labor of employees. Employees, in contrast, do not own these productive resources. Instead, they sell their labor in exchange for wages, often without much control over the conditions or outcomes of the work they perform. For example, a CEO or shareholder of a corporation benefits from the company’s profits, while a factory worker or service employee earns a set wage, dependent on the employer’s decision-making, rather than from ownership or control of the business itself. This creates a clear divide in economic power and wealth generation between the two groups.

2-UnderstandIing the quote by Adam Smith on pg. 28:

Adam Smith says, “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.” This quote emphasizes the central role of labor in determining the true value of commodities, arguing that labor is the ultimate and real standard by which we measure value. According to Smith, while money is the price we attach to goods in the marketplace, it is labor the effort and work that goes into creating, transforming, and distributing a product that determines its true worth.

3- Class as NOT an identity (Reading 4.4):

In Class Rules Everything Around Me by Paul Heideman, the main argument that class is not an identity challenges the common perception that class is simply a personal or social label that people identify with. Heideman argues that class is not about how individuals see themselves or the lifestyle they choose, but rather about their position in the larger economic system and the power dynamics that come with it. For example, a person may identify with a particular class, but this self-identification doesn’t change their position within the economic system. As a result, the argument encourages a shift from viewing class as an individual identity to seeing it as a reflection of one’s role and power within economic and social structures.

4- Class structures and “close form of dependency” (Reading 4.4):

The idea that class structures are built around a “close form of dependency” means that different classes in society, especially owners and workers, depend on each other. This dependency is close because the success of the owners depends on the work of the employees, and workers rely on the owners for their jobs and wages. However, this relationship isn’t equal. Owners have more power because they control the resources and wealth. For example, in a company, employers need workers to create products or services, while workers need their employers for a paycheck to live. Even though they rely on each other, owners have more control over the money and working conditions, while workers have less control over their wages and work environment.