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Capitalism
a. Independent British farmers would raise sheep, shorn them, and spin and weave their wool to make their own cloth which they then cut and sew for garments. Show the circuit of production for this way of getting clothes. How is this circuit changed if the farmers exchange some of the wool for money that they use to buy finished apparel?
b. Is there any tendency for farmers like this to increase their production?
c. Merchant capitalists start buying wool from the farmers and hiring some to work spinning and weaving it into cloth that they then sew into clothes to sell for the money to pay the farmers and workers. Show the circuits of production involved in making clothes this way. Is there any tendency for these merchants to increase their production?
d. How can the merchant capitalist make profit from wage labor? What will the merchant capitalist do with her profits? How does this make capitalism an expansive system? How will she sell her increased production? How will she find additional workers? What happens to other forms of production with the expansion of capitalist production.
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