Marx called the difference between the price of a good or service and its labor cost its:
A) profit.
B) surplus value.
C) excess price.
D) subsistence wage.

Question

Quizplus · Accepted Answer

Marx's theory of surplus value contends that the value of a product is not only determined by the amount of labor needed to produce it, but also by unpaid labor, or surplus labor, that the workers contribute to the product. This unpaid labor is the source of profit for the capitalist, as the value of the product is greater than the cost of the labor used to produce it. The difference between the price of the good or service and the cost of the labor used to produce it is what Marx calls surplus value.

Marx Called the Difference Between the Price of a Good