1. Capitalism vs. Communism
S. Todd

2. Capitalism vs. Communism
Capitalism and communism are opposing schools of thought in economics and politics
The central arguments in the communist/capitalist debate are about:
Economic equality
The role of government

3. Communism
Communism believes economic inequality is bad for society and the government is responsible for reducing it via programs that benefit the poor. E.g. free public education, free or subsidized healthcare, social security for the elderly, higher taxes on the rich

4. Capitalism
On the other hand, capitalists believe that government does not use economic resources as efficiently as private enterprise and therefore society is better off with the free market determining economic winners and losers

5. Definitions
Capitalism -a theory or system of social organization based on the free market and privatization in which ownership is held by the individual persons
Communism
-system of social organization based on the holding of all property in common, with actual ownership held at the community or state level
-rejection of free markets and extreme distrust of Capitalism in any form

6. Philosophy
Capitalism -laissez-faire means to "let it be“ -opposed to government intervention in economics because capitalists believe it introduces inefficiencies -a free market produces the best economic outcome for society -government should not pick winners and losers
Communism
-from each according to his ability, to each according to his needs

7. Ideas
Capitalism -capital is owned, operated, and traded for the purpose of generating profits for private owners or shareholders -emphasis on individual profit rather than on workers or society as a whole
Communism
-all people are the same and therefore classes make no sense
-the government should own all means of production and land and also everything else
-people should work for the government and the collective output should be redistributed equally

8. Religion Capitalism -freedom of religion permitted Communism
-all religion/religious practices are abolished

9. Economics
Capitalism -market-based economy combined with private or corporate ownership of the means of production -goods and services are produced to make a profit, and this profit is reinvested into the economy to fuel economic growth
Communism
-the means of production are held in common, negating the concept of ownership in capital goods
-production is organized to provide for human needs directly without any use for money

10. Political System
Capitalism -can coexist with a variety of political systems, including dictatorship, democratic republic, and direct democracy
Communism
-usually takes the form of totalitarianism (absolute control by the state or a government)

11. Social Structure Communism -all class distinctions are eliminated
Capitalism
-classes exist based on their relationship to the means of production: the ruling class, or "capitalists“ own shares of the means of production and derive their income in that way
-in contrast, the working class is dependent on wages or salaries
Communism
-all class distinctions are eliminated

12. Private Property -private property is the dominant form of property
Capitalism
-private property is the dominant form of property
-public property and state property play a secondary role
Communism
-abolished
-the concept of property is negated and replaced with the concept of commons and ownership with "usership"

13. Examples
Capitalism
The modern world economy operates largely according to the principles of capitalism
-the UK, US, and Hong Kong are mostly capitalist
Communism
-ideally, there is no leader; the people govern directly
-this has never been actually practiced, and has just used a one-party system
-examples of Communist states are the former Soviet Union (1991), Cuba and North Korea

14. Class split into four groups
Pros of Capitalism
Cons of Capitalism
Pros of Communism
Cons of Communism