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Socialism Defined
 
 
                                                                               Compare the definitions of socialism and capitalism

 

Socialism

Socialism is a theoretical economic system that advocates the vesting of the ownership and control of the means of production and distribution in the community of stakeholder as a whole.

 

Note:

It should be pointed out that no true socialist economic system has ever been fully implemented.

Capitalism

Capitalism is an economic system in which the means of production and distribution are privately or corporately owned…

 

This definition goes on “…development is proportionate to the accumulation and reinvestment of profits gained in a free market.”

 

By The American Heritage Dictionary of the English Language.

In all fairness, development would also be proportionate to the accumulation and reinvestment of profits gained in a free market in a socialist system. The accumulation and reinvestment of profits is irrelevant in a purely communist system because such a system would not have capital to exchange.

  

Terms like “freedom” or “free market” are typically used in definitions of capitalism in an attempt to persuade students that a capitalist system is preferred over a socialist or communist system. In truth, capitalist systems consolidate control under the power of an elite few. Socialism advocates democratic control at all levels of decision-making to those who are directly impacted by the decision being made.

 

Capitalism is paradoxical*

  • Free wage labor offers lost freedom to workers
  • Capitalism improves consumer standards; but deprives producers
  • Capitalism causes Jobs to be deskilled
  • Capitalism transfers independence and decision-making to employer
  • Capitalism permanently displaces older workers with technology and new workers
  • Capitalism has harmful environmental effects
  • Capitalism has harmful physiological effects on the population
    • Stress induced heart disease
    • Depression
    • Anxiety
    • Compulsion
    • Mania
  • Large-scale firms raise productivity but create dangerous concentrations of:
    • Economic
    • Political Power

 

*Partial Source Citation: "Capitalism" Dictionary of American History. Stanley I. Kutler, ed. 3rd ed.

10 vols. New York: Charles Scribner's Sons, 2003.