Capitalism

• Capitalism


  An entire ideology centered around the idea of the individual's right to choose his work, his goals, and his life's details
• Capitalism


  • Based on the relationships between the capitalists, the consumers, and the laborers
  • Capitalists essentially acquire or create goods for less than they sell them
  • Markets determine the production and distribution without government involvement, and the economy and the government remain separate
• Adam Smith, Inquiry into the Nature and Causes of the Wealth of Nations, wrote the first major work on capitalismThe first major work on capitalism was written by Adam Smith, Inquiry into the Nature and Causes of the Wealth of Nations

  1776
• Two main ingredients of a capitalist society

  • Capitalists
  • Laborers
• Capitalists


  Owned the capital or means of production
• Laborers


  Produced goods out from the raw materials provided by the capitalists, usually work for money rather than for a share of what they're producing
• Factors of a capitalist society

  • Individualism
  • Market economy
  • Decentralization
  • Links between demand and supply
  • Competition
  • Profit
• Individualism


  Individuals, rather than the state, own the means of production such as land, machinery, natural resources and factories
• Market economy


  An economic system where the production and distribution of goods and services are primarily determined by supply and demand in a competitive market, with private individuals and businesses owning and controlling the means of production, and economic decisions guided by self-interest and profit motives
• Decentralization


  Lack of central regulation, the state does not tell people where and when to work, how much to charge for their labor, what to do with their money, and what they should be producing at their job
• Links between demand and supply


  • The sovereignty enjoyed by the consumer, who chooses both what will be produced and how much of it will be available through his demand or lack thereof
  • The interaction of supply and demand determines the equilibrium price and quantity in a market
• Competition


  The interactions between the buyers and sellers that determines the price of goods and services rather than the state or a private monopoly, it is a fundamental aspect of market economies and plays a crucial role in determining prices, quality, and innovation
• Profit


  A motive for economic activity and a mechanism for resource allocation and wealth creation, it shapes the behavior of businesses, entrepreneurs, and investors, and plays a crucial role in driving the dynamism and efficiency of capitalist economies
• St. Thomas Aquinas


  • Believed in the individuality of everyone, believed that it was natural for men to hold private property because it makes them more reliable, responsible, and content, and when things are in private hands, they are easier to share with those who have less
• John Locke


  • Believed that a man's place in society was not necessarily a struggle against his neighbors, felt that the government had no place in the economic sector, believed that if a man cultivated a field, the products from the cultivation were his, and that men should be allowed to regulate their own commerce or business
• Adam Smith


  • Recommended allowing the market to make economic decisions through self-regulation rather than allowing the government to control commerce and industry, explained the evolution of society into a market-determined existence free from government interference, discussed the invisible hand as a system of complete freedom that will create an organized society, emphasized the concept of division of labor
• Socialism


  An economic and political ideology that advocates for collective ownership and democratic control of the means of production, distribution, and exchange in society, with the aim of creating a more egalitarian society where everyone has access to basic necessities and opportunities for self-fulfillment
• Evo Morales


  • Implemented socialist reforms in Bolivia, including the nationalization of natural resources, land reform, social programs, constitutional reforms, promotion of indigenous rights, and economic nationalism
• Thomas Sankara


  • Implemented socialist reforms in Burkina Faso, including land reform, anti-corruption campaign, promotion of women's rights, investment in healthcare and education, and policies aimed at achieving economic self-sufficiency and reducing dependence on foreign aid and multinational corporations
• Thomas Sankara was a revolutionary leader in Burkina Faso who advocated for social justice, anti-imperialism, and promoted transparency and accountability in governance
• Women's Rights


  • Sankara was a staunch advocate for gender equality and women's rights
  • Implemented policies to improve access to education and healthcare for women, promote women's participation in the workforce and decision-making roles, and combat practices such as forced marriage and female genital mutilation
• Healthcare and Education


  • Sankara prioritized investment in healthcare and education, viewing them as fundamental rights and essential components of human development
  • Launched mass vaccination campaigns, built new schools and healthcare facilities, and mobilized volunteers to provide basic services in rural areas
• Self-Sufficiency and Economic Independence


  • Sankara pursued policies aimed at achieving economic self-sufficiency and reducing dependence on foreign aid and multinational corporations
  • Promoted domestic industry, agricultural production, and food self-sufficiency, and sought to break ties with international financial institutions and Western powers
• Cultural Revolution


  • Sankara initiated a "cultural revolution" aimed at promoting Burkina Faso's indigenous culture, language, and identity, and breaking free from the legacy of colonialism and imperialism (French colonial power)
  • Encouraged Burkinabè people to embrace their cultural heritage and reject Western cultural influences
• Salvador Allende was a socialist politician who served as the President of Chile from 1970 until his death in a military coup in 1973
• Nationalization of Industries


  • Allende's government nationalized key industries, including copper mining, banking, and telecommunications
  • The nationalization of the copper industry, which was the backbone of Chile's economy, aimed to assert state control over natural resources and generate revenue to fund social programs
• Land Reform


  • Allende implemented land reform measures to redistribute land to landless peasants and small-scale farmers
  • Involved expropriating large estates owned by wealthy landowners and redistributing them to agricultural cooperatives and peasant communities, with the goal of promoting agricultural productivity and reducing rural poverty
• Social Welfare Programs


  • Allende's government expanded social welfare programs to provide healthcare, education, housing, and other basic services to the Chilean population
  • Included the establishment of free healthcare clinics, subsidized housing projects, and programs to provide free meals and school supplies to children from low-income families
• Workers' Rights


  • Allende's government implemented policies to strengthen workers' rights and improve working conditions
  • Included the enactment of labor laws to protect workers' rights to organize, bargain collectively, and participate in workplace decision-making, as well as measures to increase wages and reduce working hours
• Price Controls and Food Distribution

  • Allende's government implemented price controls and food distribution programs to combat inflation and ensure access to basic goods for low-income families
  • Included the establishment of state-run distribution networks to sell staple food items at subsidized prices to consumers
• Popular Participation and Democracy

  • Allende's government promoted popular participation and grassroots democracy through initiatives such as neighborhood councils and worker-controlled factories
  • These initiatives aimed to empower ordinary citizens and promote social solidarity and collective decision-making
• Allende's socialist reforms faced significant opposition from conservative political factions, business interests, and the United States government, which sought to undermine his presidency through economic sabotage and covert intervention
• Communism


  • A political and economic system in which citizens share property and wealth based on need
  • Private ownership does not occur
• Communism is advocated for Utopia
• Communism


  • It is Marx's branding for socialism
  • The natural last step in the progression of society
• Progression to Communism


  A country must first evolve through slavery, feudalism, and capitalism before reaching socialism and then communism
• Communism


  • A central committee would govern over a society of equal members
  • Marx described this as socialism, using the word communism only to describe the perfection eventually achieved after the wrinkles of socialism were ironed out
• Communism


  • A very general idea of ancient origin, meaning a system in which society owns property collectively and wealth is shared according to need
  • Specific ideas on communism have evolved over the years, ranging from the utopian versions of Plato and Sir Thomas More to the more dictatorial creation of Joseph Stalin
• Marxism


  The Communist Manifesto was the first book identified as such, explaining the differences between the classes and the need for revolution to bring equality and, ultimately, Marxism
• Marx felt that philosophy had to become real and that observation was useful but little would happen until someone actually did something