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Communism Vs Capitalism

Essay by   •  December 6, 2010  •  595 Words (3 Pages)  •  1,822 Views

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It is true, democracies, autocracies, dictatorships, etc., are forms of government that have little connection with economic welfare. To understand that subject, we have to look at the economic systems, e.g., capitalism, socialism, communism, etc. Any of the above governments can and have worked with these different economic models with success (and failure). To date, capitalism has shown better results than any other system. However, the current forms of western capitalism are heavily modified by government "rules of the game" that ameliorate the unfavorable side-effects, such as, depressions, excessive inequality, poverty, etc.

Furthermore, feudal, socialist, and communist economies all over the globe, from small utopias (New Harmony, Lanark, Oneida in the U.S.) to colossal nations (Russia, China), with very few exceptions, have given up on their attempts to establish egalitarian societies because equality and incentive are incompatible.

Where they failed, leftists and fascists removed these liberal governments, but ultimately failed to provide an adequate prescription for per capita income advancement, either by improving technologies or conquering other countries, or both. They are mostly obsolete today. Additionally, all attempts by leftist governments to create classless societies, resulted in merely replacing the capitalist classes with bureaucratic classes, the general population remaining as poor as ever. This was certainly true of the U.S.S.R., China, and all eastern European countries under the hegemony of the U.S.S.R.

All the richer countries have capitalist economies and most are democratic. In these countries when inequalities generated by capitalism became too great, the exploited and oppressed masses pressured their representatives to pass laws that relieved the poorer segments of the population. Returning to new, revolutionary leftist governments, in the modern world, where would such a government obtain capital and trade to improve the living standards of its people? There are no large leftist governments with such excess money that they can support a poor leftist government until it becomes self-sufficient, a la the then U.S.S.R. vis a vis Cuba.

The rich capitalist countries certainly have no incentive to lend money to leftist governments as a matter of ideology. Best that a new Marxist government can do is redistribute income from

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