Capitalism and the Distribution of Income and Wealth

Abstract

In the beginning, capitalism came into a world of traditional societies based on small-scale peasant and artisan production. Trading relations between regions and, locally, between town and country, together with their associated monetary and credit arrangements, were already well-developed. Surplus product, over and above what was necessary for society's reproduction, accrued mostly to landlords and merchants who lived on a scale far above that of the great mass of the people. Nobles and kings, with their retainers and armies, took their share, lavishing much of the social surplus on costly displays and military adventures. These societies, though generally not stagnant, tended to expand slowly in step with population growth, and experienced ups and downs in response to the rhythms and vagaries of the natural environment.This article can also be found at the Monthly Review website, where most recent articles are published in full.Click here to purchase a PDF version of this article at the Monthly Review website.