Why capitalism is better then comunism?

Answer 1

Neither capitalism or communism provide good economic models.

With communism, the state controls supply of a good, how much of it is made, by whom, in what conditions the workers work in and so on. These decisions are often based on political ideology rather than economic or social necessity, resulting in shortages and poor quality goods, as well a forcing the population to always defer to the state if they want anything.

True capitalism is probably as damaging as a marxist economic model because the driving force of capitalism is "money at all costs". This results in money, resources and power being concentrated in the hands of the few, at the expense of the majority of the world's population. Because with capitalism, no amount of money is "enough" and companies are obliged to maximise profits at all costs, the results include environmental damage, slavery/ bonded labour, exploitation and the backing of oppressive regimes. True capitalism can still lead to shortages if it is decided that more profit can be made by not supplying something and forcing up prices (e.g. as in the Californian energy crisis a few years back) or if you can make something less useful but more valuable (hence why major drug companies invest more money in finding treatments for baldness and impotence than for a cure for sleeping sickness; the former affects rich Westerners, the latter affects and kills poor people in the developing world - there hasn't been a new treatment for sleeping sickness in over 50 years!). Proper capitalism also means that the workers are just as exploited as in a communist model because the powerful can use their wealth and influence to keep down wages, reduce workers' rights and in doing so increase their profits.

A better economic model is that of a mixed economy. This means that there is the private economic freedom (including privately owned industry) seen in the capitalist model combined with the centralised economic planning seen with Communist models. This may (and should) include environmental protection, workers rights, welfare for the poor and social security for the aged and infirm.

What most people think of as capitalism (e.g the economic systems of the US, Europe etc) are in fact mixed economies. Private businesses not only exist but are encouraged, but political leaders make policies to regulate them (labour laws, tax laws, environmental laws, minimum wage laws etc). There are some Government controlled monopolies (e.g postal systems) and nationalised industries (e.g. Amtrack in the US). In times of war, the Government may tell manufacturers what to make, but otherwise it is mostly left to supply and demand, although the production of some items are banned or controlled (e.g. drugs).

Answer 2

Great question!

It can be answered in two ways: using theory (which PFO did really well) or using real-life examples. I'll list a few examples and let you make up your own mind.

1. There are currently 5 countries with communist governments: China, Cuba, North Korea, Laos and Vietnam. In terms of GDP per capita (average income per person), they rank #115, N.A., N.A., #158 and #144 respectively out of 185 measured countries. So all very low. China is the highest on that list with an income of $1,263 per person, which is just 1/30th that of the average American. (sources below)

2. While a significant stated ideal of communism is to spread the wealth evenly, China ranks just 5 spots better at that than the U.S. (using the standard Gini index) In fact, the best 40% in spreading income equally are non-communist countries such as Denmark (#1 in this measure). (source below)

3. The Soviet Union was communist. Its leadership chose capitalism and now a number of former Soviet republics are among the top half of wealthy nations.

Note that none of these communist countries exhibit "pure" communism, which even most communists agree is as impossible to achieve as a perfectly capitalist economy.

Hope that helps!

Answer 3

Communism is stupid, because there is a objection of terms. They say that everyone is equal, but there is a leader which is always the smartest, the honest, greatest , and that's stupid, we know that.
Capitalism is more like a jungle, if you are working hard, you can have the money. Communism teach you that average is good, you're not superior than your neighbor who's a stupid and lazy guy. Other problem - huge one - is the private property. Imagine that you have nothing yours ... so nothing to build on.
I'm from Romania, I know what it was, only old people say that it was better, but only the one who was average, lazy, stupid.
I don't say that capitalism is better, it just give you the chance to do something. If you're good, you'll have a lot of money. If you wait for money to come to you by doing nothing and always complain, you'll be a shadow of yourself.

Answer 4

Capitalism and communism are neither better or worse unless you define what it is they are better at. If it is material wealth then capitalism tends to be better because central planning by communist government is difficult as there are information problems. Under a capitalist system the government steps back and lets the people decide how they want to run their own business.

Answer 5

Capitalism is better....Because...Individuals have more freedoms...to act ...re-act...object...more and better choices education wise.... Trasportation and communications means are more advanced...Goods are brought in the markets faster with prices that members of the public are able and can affort to buy... Capitalism Nations have no shortages in Goods ... Food ... and Services... Also in Capitalist Nations...the Goverment does try to shut your brain down...you have the freedom to follow or reject ideas and opinions...Simply your freedom will stop ...in the point...where the freedom of your fellow citizen will start...and in a Capitalism Country no body is above the law...no mater what position you hold.

Answer 6

Capitalism has a feedback loop. In a communist government, they decide who makes soap, what price it is, how much is made. In a capitalist government, companies decide to make soap, and they compete for price. They make what they think they can sell at a price they think they can. The citizens decide what they want and what is acceptable. This way bad market ideas die because they made too many items, they made too few items, or their price was too high, or the can't sell at a lower price than a competitor. Communism lacks this feedback loop, and burdens the government with making small but important decisions for everyone. People are best at deciding what they need at what price.

Answer 7

in simple terms in case human beings nonetheless get perplexed: communism and socialism are actually not an identical concern. Socialism exists in France (the place I come from) and Germany, for occasion, and to a definite quantity in England. And, I accept as true with you: communism will in no way artwork simply by fact of human beings. at the beginning, human beings tend to desire a pacesetter. we are only animals, in spite of everything. And, if i'm no longer unsuitable, communism ask for NO government, as a result no chief. 2d, communism stands for equality. yet there'll continuously be people who will choose greater ability than others (think of Stalin and Lenin, working example, and ALL those that have been WITH THEM). i've got in no way study the Communist Manifesto, so don't understand lots approximately communism, particularly. yet basic, i do no longer think of it particularly is obtainable to have a loose communist u . s ., in right this moment's international a minimum of.

Answer 8

no such thing as comunism.
communism is the perfect govt. on paper but does not work out in reality because people are always trying to attain a higher status in life. Communism does not allow that, that is why capitalism is better. more freedom is my final answer

Answer 9

They both have their good and bad. But, IMO, capitalism is better because it promotes creativity and innovation. In order to sell more than the other guy and make more money, you need to produce a better product.

Answer 10

Comunism is great on paper, However it requires absolute power and absolute power corrupts absolutely, and it cannot be stopped it has to burn it's self out.