Social labor theory

Social labor theory suggests that the value of a good or service is determined by the total amount of socially necessary labor required to produce it. This means that the value isn't just based on individual effort, but on the average time and work needed under normal conditions with efficient methods. The theory emphasizes that value arises from collective human effort, reflecting the society's shared production processes. It also highlights how labor contributes to creating economic value within a social context, influencing ideas about fair compensation and the distribution of wealth based on labor contribution.