A wage is the portion of value produced by a worker that they keep, while the surplus value is appropriated by a capitalist. It obscures the distinction between necessary and surplus labour and makes all labour appear to be paid.[1]
Wages can be measured in two ways: nominal and real. Nominal wages are the amount of money that the worker receives. Real wages are expressed in terms of the cost of consumer goods and can change when taxes or prices change even if the nominal wage stays constant.[2]
See also
References
- ↑ Karl Marx (1867). Capital: 'The Transformation of the Value (and Respective Price) of Labour-Power into Wages; Money'. Moscow: Progress Publishers.
- ↑ Political Economy: 'Wages; Nominal and Real Wages' (1954). [MIA]