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

The primary distinction between owners and employees is that owner generate their wealth through assets, investments, and earnings. They live off the profits from their properties, stocks, and other investments. Employees, on the other hand, rely on the salaries or wages they earn from their jobs. For example, a business owner who owns many real estate holding or a tech startup owner gains from the company’s profits, whereas an employee may work as a software developer or manager and earn a wage for their services.

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

Adam Smith’s remake emphasizes labor as the fundamental measure of the value of products or Services. It claims that money is merely a symbolic measure of value, and that the true standard by which things are valued is the work that individuals do. In other words, labor provides the underlying value of items, while money is only a vehicle to quantify that labor. This emphasizes the role of the working class in creating value beyond the simple exchange of money.

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

According to my interpretation, this argument suggests that a persons socioeconomic status shouldn’t be considered an integral component of who they are. It is not a term that defines someone. Social class is more concerned with societal relationship and role than with a fixed identity. Class can shift depending on things such as income, employment, and education. People should not feel confined in their class because of their upbringing or socioeconomic standing, as they have the ability to change their circumstances.

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?

The “close form of dependency” argument implies a connection between the labor class and the upper class. Capitalists rely on workers to generate goods and services, and workers rely on capitalists for employment and income. In a firm, for instance, the owner relies on workers to produce or market goods, while workers rely on the owner to supply jobs and pay. The class system is maintained by the mutual reliance, in which each side depends on the other to hold onto its position.