"The protest against capitalism" Flashcards
What is market capitalism
Individuals own land and capital and are free to sell and buy land, capital and goods and service.
What does market capitalism run on?
Billions of self-interested choices.
What are the properties of market capitalism?
They self-determine how and for whom to produce goods and services for. There is also no planned guide and no see able future.
What is Centrally planned socialism?
Government owns all land and capital. It directs workers to jobs and shows them how to work. They choose production.
Which countries had market Centrally planned socialism in the past?
USSR, China and Eastern Europe.
Who are the supporters of Centrally planned socialism?
Those who do not like the 1% and socialists like Karl Marx.
What are the 5 protests against capitalism?
1) Too much influence by co-operations on governments 2) Democratic governments can do a better job in allocating resources 3) They serve human need not human greed 4) There is a winner and a looser 5) The winners are co-operations and the losers are workers
Who are the supporters of Capitalism?
Most modern day countries and the founder, Adam Smith.
How do capitalists defend the 5 protests of the socialists?
1) Big co-operations focus on maximum profit not influence. 2) There is an “invisible hand” that guides decisions which promote the society. 3) Politicians are ill-equipped to intervene in the market 4) There are always two winners in a transaction; The seller who sells and gets profit and the buyer who buys for least amount.
