Exertion, Reward, Labor

Perhaps the primary Practical significance of the concept of Freedom is its implication in the concept of Retributive Justice, the proper meaning of which spans both Reward and Punishment, in contrast with the common usage, which usually connotes only the latter. For, an assignment of desserts requires ascribability of an action to some agent, which presupposes that the latter initiates it. Now, as has been previously discussed, Exertion is always self-initiated. Thus, for example, since Exertion applied to some material is Labor, the latter should be rewarded in proportion to the modification of the material effected by Exertion. In other words, Freedom implies a Labor Theory of Value. However, while Smith, at times, seems to subscribe to that theory, he eventually abandons it, in favor of an Exchange Theory, according to which, what Labor 'deserves' is whatever wage is set for it by the market. So, despite its familiar rhetoric, Capitalism tends to undermine, not promote, personal Freedom.