Similarities Between Capitalism And Socialism

Capitalism VS Socialism

Two of the most talked about economic systems are socialism and capitalism. These economic systems are pretty different but both have proven their success In the modern day. Capitalism focuses on freedom of the market while socialism focuses on equal opportunity for all. Most modern capitalist countries have socialist aspects. This being said most modern socialist countries are not completely socialist and have other influences as well. Without influence from each other neither would be able to properly exist in the modern world. Both economies look to work smoothly in theory but need balanced when it comes to playing out in the real world with real money.

As capitalism rose up, modern socialism took people 's interest

“For example, in capitalism’s embryonic stage, the capitalist ran a small shop, where perhaps he sold wagon wheels. But as capitalism evolved, a thousand times more goods were produced after the whole town was organized to make wagon wheels, each person performing a different, very small task, but all working cooperatively to produce the final product. The profit, however, went to one person — the owner, or owners. The result was that wagon wheels were immensely cheaper, and those who could not afford the high cost of the factory-approach of production — machines, labor costs, and raw materials — were pushed out of the market” (Cooke par. 9). Large industries and monopolies occured naturally making people realize that revisions needed to be made and the perfect government they once thought, was not as great as they had viewed it in the past. Extremists thought a complete shift needed to be made to capitalist economies and countries while most realized the dangers of the lack of regulations of a completely free market. Karl marx was the first known analyst of capitalist economy and society. Most modern socialist ideas spawned from the corrections made to capitalism. Marx did not come up with a new economic system but rather came up

Socialists view money and power as negative influences to a capitalistic government. Humans naturally throw the market off balance the and socialisms main aim is to combat this with government involvement. It constructs a more even playing field between businesses and workers. Government involvement makes sure workers are treated fairly and monopolies cannot rise for anyone individual large benefit. Socialisms goal is to redirect the mass amounts of money made from successful business back into the pockets of the workers rather than non working shareholders involved in the company. The shareholders hold no social function in pure socialist eyes. After all they could be just as much of a working asset down the chain with the rest of the working class. But don 't we need people in a higher mindset for the continuation of society and development of new technologies? Capitalism may be more of an unfair playfield in the workforce but when it comes to growth of business and economy it seems to do a much faster