Economics. A point of heavy debate and argument for centuries now from Adam Smith to David Ricardo to Karl Marx. While there have been numerous economics theories through history, this piece focuses solely on comparing and contrasting capitalism and communism and analyzing their pros and cons. Socialism and democratic socialism are also brought to the table as well.
So let’s start off by identifying each of these four just to make sure that we have a collective understanding. Capitalism is defined as “an economic and political system in which a country's trade and industry are controlled by private owners for profit, rather than by the state.“ A roofless free market system basically that ultimately can give rise to major corporations and assembly line consumerism. Communism on the other hand is defined as “ which all property is publicly owned and each person works and is paid according to their abilities and needs.” Communism at face seeks to create an equal and casteless society with a working class majority and a ruling class minority.
Now let’s have a look at Socialism and Democratic Socialism. Socialism, like communism, is listed as advocating that the means of production, distribution, and exchange should be owned or regulated by the community. So what’s the difference between socialism and communism? The main difference is that socialism is compatible with democracy and liberty. Communism involves creating an 'equal society' through an authoritarian state, which denies basic liberties.
So what is democratic socialism? According to Business Insider: Democratic socialists also believe strongly in democracy and democratic principles. They are by no means proponents of authoritarian government systems many Americans associate socialism with.
As the DSA's website states: "At the root of our socialism is a profound commitment to democracy, as means and end. As we are unlikely to see an immediate end to capitalism tomorrow, DSA fights for reforms today that will weaken the power of corporations and increase the power of working people."
To put it another way, they don't feel socialism should be forced on people, but they are fundamentally anti-capitalist and believe the government should urge privately owned businesses toward granting workers as much control as possible.
Now that we’ve properly defined our four principles, let us now begin to compare and contrast.
In conclusion, having defined and examined these economic principles, I now open the floor to the rest of you. What would you say is the ideal socio-economic platform? And what do you think America needs? Should we keep the system that the majority (allegedly) of the people say has worked the whole time, or is it time for reform? Capitalism, communism, or socialism?
Open for posts and please vote above! Also, look below for additional material and my sources.
