Capitalism and Socialism the Two Dominant Economic Essay

Open, View, and/or
Download this Document

Total Length: 723 words ( 2 double-spaced pages)

Total Sources: 4

Page 1 of 2

Capitalism and Socialism

The two dominant economic systems we have in the world today are socialism and capitalism. In this text, I will in addition to comparing and contrasting socialism and capitalism also discuss the shortcomings of these two economic systems. Further, amongst other things, I will highlight the overlaps between the two.

Capitalism vs. Socialism

In seeking to highlight the key differences between socialism and capitalism, it would be prudent to first offer a concise definition of the two terms. Capitalism in the words of Brinkerhoff, White, Ortega, and Weitz (2007) "is the economic system in which most wealth (land, capital, and labor) is private property, to be used by its owners to maximize their own gain." As the authors in this case further point out, this particular economic system is largely founded on competition. Socialism on the other hand is defined as "an economic structure in which productive tools are owned and managed by the workers and used for the collective good" (Brinkerhoff et al., 2007). From the definitions, it is clear that unlike capitalism, socialism favors a situation whereby there is deliberate control as well as planning of economic activities on behalf of the entire community.

Stuck Writing Your "Capitalism and Socialism the Two Dominant Economic" Essay?

View All Our Example Capitalism and Socialism the Two Dominant Economic Essay

Have A Custom Example Essay Written

In the case of capitalism, no attempt is made to have economic activities controlled from a central point on behalf of the community. Here, enterprises are allowed to compete in the supply of goods and services as they seek to rake in monetary returns. The key driving force of the latter economic system is communal welfare while that of the former is profit. It is also important to note that unlike socialism, capitalism permits (and perhaps encourages) class differences in the society (Furze, Savy, Brym, and Lie, 2012). When it comes to capitalism, class inequalities are seen as the unavoidable consequence of the economic system. Socialism abhors class inequalities and instead seeks to foster equality.

It is important to note that over time, significant criticism has been leveled against both economic systems. To begin with, there are those who are convinced that capitalism is largely exploitative. Adherents of the socialism system argue that in a capitalist system, the need for equality cannot….....

Show More ⇣

     Open the full completed essay and source list


OR

     Order a one-of-a-kind custom essay on this topic


sample essay writing service

Cite This Resource:

Latest APA Format (6th edition)

Copy Reference
"Capitalism And Socialism The Two Dominant Economic" (2013, April 13) Retrieved May 18, 2024, from
https://www.aceyourpaper.com/essays/capitalism-socialism-two-dominant-economic-89486

Latest MLA Format (8th edition)

Copy Reference
"Capitalism And Socialism The Two Dominant Economic" 13 April 2013. Web.18 May. 2024. <
https://www.aceyourpaper.com/essays/capitalism-socialism-two-dominant-economic-89486>

Latest Chicago Format (16th edition)

Copy Reference
"Capitalism And Socialism The Two Dominant Economic", 13 April 2013, Accessed.18 May. 2024,
https://www.aceyourpaper.com/essays/capitalism-socialism-two-dominant-economic-89486
   

Open, View, and/or
Download this Document
order custom essay example