economy

• Introduction

  • Emerging as a response to the inequalities of industrial capitalism in the 10th centrury, socialism is a political idealogy centred on collective ownership,social equality and economic justice
  • With the insights of key thinkers like Karl Marx and Anthony gidden This is particularly evident in debates around the economy where differing views highlight the diversity within socialist thought.
  • Arguing on topics such as state intervention, state of capitalism and public ownership
• Agree (require state intervention within economy)

  • all socialists believe that inequality is an outcome of capitalism which requires state intervention to address
  • laissez - faire capitalism is opposed, due to tis minimal government regulation worsening economic inequalities
  • revolutionary socialists support the state completely scrapping private property
  • Marx - state ownership was essential to secure "from each according to his ability to each according to his needs"
  • although agreeing with necessary socialist values, social democrats (Rosa luxemburg) apply it more selectively through the creation of a mixed economy. - pragmatism - gradualism - The inevitability of gradualness
  • this is through progressive taxation
  • third way (anthony giddens) had acceptance of a free market - emphasis on equality of opportunity over equality
• slightly disagree on state of capitalism

  • marx and engels advocate for complete abolition of capitalism and instead wish for a proletariat dictatorship followed by a classless society
  • Third way centre around a combination of social justice alongside market - oriented economics
  • Anthony giddens - theses socialists have a full acceptance of capitalism. no move was made by new labour to re-nationalise industries privatised by the conservatives
  • There is a level of economic success under capitalism, and therefore needs to be kept thus benefitting those worst off in society
  • Traditional and Neo-revisionists disagree markedly bout what a total share economy should revolve under capitalist regime. on one hand, marxists call for a full transition to a communist system, whereas the third way encourage entrepreneurialism
• Disagree fully on public ownership

  • social dems - eduard bernstein and beatrice webb support a mixed economy, with a great deal of public ownership
  • Welath generated by privatisation is essentail for economic growth so it can provide welfare the people would demand
  • beatrice webb - clause 4 - alliance to the common ownership of means of production
  • By contrast, the third wat socialists opposed this support for public ownership and rewrote clause 4 to pledge support for the economy ' for the many, not for the view' - still a call for welfare state but not to the same degree - stating it should be hand up not handout
  • all commitments to nationalisation were removed. they accepted the privatisation and deregulation of previous governments and didnt support a policy of re-nationalisation