This chapter examines the genuine dialectic at work in Capital Volume 1 (to be contrasted with the failed dialectic of Hegel). A focus of the chapter is the role of opposition and contradiction in this non-pre-determined dialectic. Attempts to read Marx as if he meant to speak of opposition instead of contradiction are rejected; opposition is, instead, shown in much of the material in question to develop into contradiction. Contradiction does not follow one pre-established pattern; but Marx, throughout, works under the aegis of the Principle of Non-Contradiction. In a sense, the chapter outlines the methodology of Marx’s mature work, but only insofar as it is recognized that this methodology cannot be spelled out other than by retracing actual arguments in Marx.