What is the term used to describe the difference between the value workers produce and the wages they are paid?

The term that accurately describes the difference between the value workers produce and the wages they are paid is surplus value. This concept originates from Marxist economic theory and underscores a critical component of capitalism. Surplus value refers to the added value created by workers beyond what they receive in compensation.

In this framework, when workers produce goods or services, they generate value that exceeds their wages. This excess value is captured by employers or capitalists as profit, functioning as a foundation for capitalist profit-making. The understanding of surplus value highlights issues of labor exploitation and inequality within capitalist economies, making it a crucial concept in sociology and economics.

By focusing on the relationship between labor and capital, surplus value reveals how economic systems can affect social structures and the distribution of wealth, thus connecting closely to themes studied in sociology, particularly those concerning inequality and power dynamics.