Socailism And Capitalism

3 Pages 865 Words

While capitalism and socialism have their own strengths and weaknesses in terms of providing various opportunities for the country, socialism provides more for its people. In a socialist government the people are what make the country “go round”. First off, the large companies are taken over by the government in order to provide general services for the population, housing is provided, along with all other basic needs to survive. Industry is the only area that government has any real control over, they set regulations concerning profit and competition and leave the rest to the people. Small businesses are allowed along with private property, and the opportunity to advance socially. While in the ideal socialist government“equality” would be developed between the social classes, however this is not enforced in most countries that claim to be socialist. There are the rich, middle and lower classes, yet unlike in capitalism there is no class that does not have its basic needs met. In this type of government the rich, middle and lower classes are taxed depending on their salary, the more money made the more the tax. Taxes benefit the people and are used to support programs such as health care. Capitalism has similar traits yet is the opposite of socialism; the government stays out of industry almost completely, except to prevent monopolies from forming in order to ensure fair competition. It also does not provide basic needs and runs off a system in which it is everyone for him or herself. If an individual wants to get ahead and achieve a higher lifestyle or class it is up to them to do it. This is one of the definite weaknesses in this type of government; it provides almost no support for its poverty stricken. Taxes are used to implement economic policies designed by the federal government, and are also used to subsidize various groups of interest such as private banks. Along those lines some taxes are used to support government pro...