To be fair, that’s still how it works, but now the “axe” is money and political power. You don’t need to beat down or enslave people with force if you can just do it with poverty. Plus poor workers have to pay for their own food, rent, and medical care.
With slaves, the owners have to pay all that, and you can’t just fire them if they do a bad job. With poor workers, you can fire them at any time and they’ll starve one the streets, so they’ll work hard to keep their jobs so there’s less need to motivate them.
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