Difference between Communism, Socialism and Capitalism
The economy is important in every country in order for a country to survive and thrive. There are different economic systems throughout the world and the most notable of them include communism, socialism and capitalism. Through the years, some people thought that these systems had become extinct or somehow replaced by the global stock market forces. But to tell you frankly, presently, they are still working for some countries and some of these countries practice a mix or a combination of these economic systems. Most people think that each of these systems is very different, but in fact, they are not. Let’s look at certain differences and similarities between these three systems.
History
The economy of communism was said to have originated in the north, specifically in the Soviet Union. In Western Europe, the economy of socialism emerged. Finally, during the 1800’s, America evolved into the economy of capitalism. Notable architects of communism-the Illuminati, socialism-the Fabian Society and Round Table, and capitalism - was institutionalized by Benjamin Franklin, Thomas Jefferson, Thomas Paine and Francis Bacon. Their religions were humanism for both communism and socialism while capitalism has no particular religion. With regards to the economics of these systems, communism practices state ownership. Socialism is a hybrid between private and state ownership while capitalism is based on free market, wherein all properties are privately owned.
Evolution
Based on Karl Marx’s theory, capitalism is a state where the system of the economy comprises a few individuals who own an enormous amount of resources, land and money. All the economy is centered on these big players in the economy and all they do is to become wealthy. Socialism comes flanked by capitalism and the communism economies due to the fact that everyone has their equal share of power and resources. Finally, communism is the final cycle of the egalitarian society. This works by giving the government power over all the resources and they will be responsible distributing them in proportion to the needs of the people.
Terminologies
Capitalism is based on the economic system which suggests “survival of the fittest” because the more money you have, the more powerful and wealthier you become. This system feeds the rich and unfortunately buries the poor. Socialism on the other hand, is based on the economic system that says “you can have your share no matter how much you contribute.” This economy is sort of unfair for the people who work hard and for those who do not still get a fair share of the “cake”. Finally, communism is based on the economic system which states “what you sow is what you reap”. This means you are only entitled to share only up to the amount that you put in.
Summary
- Capitalism practices ”Laissez Faire” wherein the players of the game are the rich ones. Those who are not rich are not represented fairly.
- Socialism is quite an unfair economic system because even the unproductive gets a fair share depending on their needs.
- Communism works as a better system only for the healthy and productive members of society because you do not get a share more than you put in, leaving the rest of society to suffer.
