To start this thread i'll give some very detailed definitions from dictionary.com.
socialism: general term for the political and economic theory that advocates a system of collective or government ownership and management of the means of production and distribution of goods. Because of the collective nature of socialism, it is to be contrasted to the doctrine of the sanctity of private property that characterizes capitalism. Where capitalism stresses competition and profit, socialism calls for cooperation and social service.
In a broader sense, the term socialism is often used loosely to describe economic theories ranging from those that hold that only certain public utilities and natural resources should be owned by the state to those holding that the state should assume responsibility for all economic planning and direction. In the past 150 years there have been innumerable differing socialist programs. For this reason socialism as a doctrine is ill defined, although its main purpose, the establishment of cooperation in place of competition remains fixed.
capitalism: economic system based on private ownership of the means of production, in which personal profit can be acquired through investment of capital and employment of labor. Capitalism is grounded in the concept of free enterprise, which argues that government intervention in the economy should be restricted and that a free market, based on supply and demand, will ultimately maximize consumer welfare. These principles were most notably articulated in Adam Smith's treatise, The Wealth of Nations (1776).
In this modern world, many forces are at work against freedom and prosperity. You may recall it being said that money is the root of all evil. I would argue that money is the root of all good. Here are my reasons:
1. People earn it. Plain and simple, but so powerful. It is incentive for work hard. This is why socialism fails. In socialism, there is no reward for hard work for both the bourgeoisie and the proletariat. Why would people even want to work if there is no reward?
2. In a monetary transaction there are no losers. The buyer gets what he bought and the seller recieves the money.
Don't get me wrong, the power of money can be abused. But for the most part money is the fruit of hard work.
For a far better explanation Ayn Rand (Atlas Shrugged) can give you some insight on this point.
Money, The Root of All Good



LinkBack URL
About LinkBacks




Reply With Quote

Bookmarks