Many of Marx’s theories are valid, and proof exists today. The current world economic crisis is proof of the vicious cycles of “boom & bust” that his theory propounds. Laborer’s producing and filling the needs of society lead to the creation of new (perceived) needs, which when filled, only lead to the creation of still more new (perceived) needs.
Commodities such as oil & gas, cars, houses, and mortgages are so profitable that capitalists greedily produce them so excessively that they glut the marketplace. Capitalists must now stop production as excess inventory becomes a cost, no longer profits. Stopping production now forces capitalists to lay-off workers, diminishing their ability to obtain money to buy their “needs.” Demand goes down while supply goes up, outstripping demand, thus creating surplus.
This phenomenon Marx calls “commodity fetish” occurs as workers become “infatuated with their own products as if it (they) were an alien thing(s),” something consumers (workers) are compelled to purchase and possess.” Our self-worth is built to a large extent on people’s ability to obtain money, because of the power it gives us to obtain the objects of our needs. However, upon attainment, the objects leave us empty & unsatisfied; creating a new need for still additional products.