Week 04 Response -- Socialism and Capitalism, which road to take?

in #response5 months ago


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@corndog2k2 asked "What is the most optimal spot on the socialism-capitalism spectrum? Pure socialism, pure capitalism, or somewhere in between?"

The definition of socialism, according to Merriam-Webster, is "any of various economic and political theories advocating collective or governmental ownership and administration of the means of production and distribution of goods." I agree with this definition, but I do not necessarily agree with idea of pure socialism. Although socialism sounds good on paper, I find the ideal as unrealistic for humans. Humans by nature are imperfect, which means that anything made by humans are also imperfect. A government or economy is, therefore, highly susceptible to corruption. For a socialist government, goods may be distributed unevenly to produce social classes that can overpower lower classes. Goods produced may not reflect correctly what the people governed actually want or need.

The definition of capitalism, according to Merriam-Webster, is "an economic system characterized by private or corporate ownership of capital goods, by investments that are determined by private decision, and by prices, production, and the distribution of goods that are determined mainly by competition in a free market." I do not fully grasp the concept that Merriam-Webster is trying to convey. From what I do understand, pure capitalism is based on customer purchase decisions. If the government does not regulate the boundaries of companies, capitalism can lead to violations of individual natural rights. A lack of regulation can also lead to monopolies, which usually make products excessively expensive so the company with the monopoly gets ridiculous profits.

Back to the main point. I think that the optimal spot on the socialism-capitalism is very close to pure capitalism. My reasoning is that capitalism is run primarily by the customer and not a governing authority. However, I wouldn't go as far as pure capitalism if it meant having no regulations. The reason I would stray away from socialism is because personal choices can become limited by direction that the governing authority is leading. Hence, I would prefer a capitalist economic system with appropriate regulations.

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