If state capitalism is not socialism, what is? In other words, if state ownership and management of production does not amount to the abolition of capitalism but only to a change in the institutional framework within which it operates, what would be the essential features of a society in which capitalism had been abolished? Although it is possible to imagine that capitalism could be replaced by some new form of class society in which some other method of exploitation would replace the wages system, we shall concern ourselves here only with the replacement of capitalism by a society from which, to remain deliberately vague for the moment, exploitation and privilege would be absent. Since capitalism is a worldwide class society and exchange economy, it is clear that the exploitation-less alternative to capitalism would have to be a classless world society without exchange.