The system you call communism grew out of a movement called socialism which is alive and well flourishing all over the World. Communism became a word to describe a government who is responsible for all basic need of the citizens and the ways and means to provide it. The original plan was to run a system much like a Hutterite colony or a collective farm. The thinking and planning was to be done by a central authority. Because of human nature though it became a dictatorship and a represive police state.
2006-07-22 07:04:32
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answer #1
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answered by Kenneth H 5
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Communism means State control of everything. There is only one property owner: the State.
Therefore, under Communism, there is no private property and no marketplace. It is right here that Communism's weakness has been exposed.
You see, we live in a world with scarce resources. Wood is scarce. Steel is scarce. Coal, water, and even human labor are scarce.
The main economic question, in a world with scarce resources is "Where should these scarce resources be applied?"
Only the marketplace can provide this answer, and it does so with two powerful indicators: Profit & Loss.
Profits are an indicator. The indicator says, "Apply your scarce resources here! This is where the demand is!"
Losses are also an indicator. This indicator says, "Remove your resources from this area. Apply them where the demand is higher."
It is because of the Profit & Loss indicators that resources are able to shift from one area of the economy to another. Without them, there is no rational way of knowing where the scarce resources should be applied.
Communism, Socialism, and Fascism have failed miserably because they lack these valuable indicators.
Here's why:
In order to have Profit & Losses, you must have "Prices."
In order to have Prices, you must have "Exchange" (i.e. a marketplace.
In order to have Exchange, you must have at least two property owners. In other words, you must have "Private Property."
Since, there is only one property owner under Communism, you can't have exchange. After all, one property owner can not trade with itself.
Since there are no markets under Communism, there are no prices. Since there are no prices, there are no profits and losses.
Hence, you had (and have) massive poverty under Communism. There is no rational way to know where the scarce resources should be applied.
It's all done by political whim.
2006-07-24 09:13:33
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answer #2
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answered by Anonymous
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As long as there is freedom there will be "economic inequalities" in other words some people will more motivated, more willing to take risks, toss in a little bit of luck, and will there fore gain more wealth. Do you think that everyone should have the same amount of money. Communism is what happens when lazy people envy the fruits of another person labor.
2006-07-22 13:58:19
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answer #3
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answered by Ethan M 5
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communism is perfect government on paper but guess what humans are not perfect. completion that is in a capitalist government balances the human factor out. yes poverty is running wild in all capitalist countries but it is by far better than what happened and still happens in a communist based government
2006-07-22 14:02:15
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answer #4
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answered by SLICK77 3
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Communism has failed every time it's been tried, because it fails to account for human instincts.
Why should anyone work hard or take risks, if the reward is no different?
2006-07-22 13:57:53
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answer #5
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answered by Jay S 5
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