Capitalism VS Socialism
Capitalism is an economic system where private individuals and business firms carry on the production and exchange of goods and services through an intricate system of prices and markets. Capitalism shows that it is possible to pursue private gain in ways that would benefit not just the interests of the individual but also those of society as a whole. Society's interests are met by maximum production of the things that people want. The grouping of self-interest, private property, and competition among sellers in markets will lead producers "as by an invisible hand" to an end that they did not intend, namely, the well being of society. In a capitalistic economic system, the basic production facilities - land and capital- are privately owned. The economic activity is structured and coordinated through the interaction of buyers and sellers in markets. Owners of land and capital as well as the workers they employ are free to pursue their own self-interests in seeking maximum gain from the use of their resources and labor in production. Consumers are free to spend their revenues in ways that they believe will yield maximum satisfaction. Under
It was successful because it demonstrated an enormous ability to create new wealth and to raise the real standard of living for nearly everyone touched by it. The socialist principle demands state ownership and control of the primary means of production and distribution of wealth, to be achieved by reconstruction of the existing capitalist or other political system of a country through peaceful, democratic, and parliamentary means. It will be the product of economic and social development. Despite such difficulties, capitalism continued to expand and prosper almost without limit throughout the 19th century. capitalism, producers will be forced by competition to use their resources in ways that will best satisfy the wants of consumers. It places special emphasis on the nationalization of monopolized branches of industry and trade, viewing monopolies as contrary to the public welfare. Self-interest and the pursuit of gain lead them to do this. Socialism is collective because society can control production unlike the economic anarchy of capitalism and because production is for the common good rather than for individual profit. Work becomes a free and self-affirming activity for each worker and they receive the full fruits of their labor. Historically, where equality would have meant shared poverty, it was inevitable that a minority would plunder, enslave and exploit the majority. It also advocates state ownership of corporations in which the ownership function has passed from stockholders to managerial personnel. The predisposition toward corporate control of manufacturing led to many attempts to create monopolies that could control an entire industry. Socialism will not be a utopia simply created in people's minds.
Common topics in this essay:
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