Questions comparing economic philosophies How do you think Herbert Spencer (Social Darwinism)would feel about welfare and food stamps? Did Adam Smith (Capitalism)believe the government should get involved and tell business owners how to run their businesses and how to treat their workers? What recommendation would Ricardo and Malthus (Capitalism)make for the working classes to climb out of poverty? How did Robert Owen (Utopian Socialism)feel about workers? How did Karl Marx and Friedrich Engels (Communism) feel about workers and their situation? The areas in black on the map are areas that were industrialized in the capitalist model. So were the capitalists right, according to this map?

Economic Philosophies

Social Darwinism- Herbert Spencer The term “survival of the fittest” was coined by the English philosopher Herbert Spencer. Spencer was a Social Darwinist who was completely opposed to government assistance programs. He believed that competition made people stronger, and that, conversely, government handouts made people weaker. In 1891, he wrote, “The ultimate result of shielding men from the effects of folly is to fill the world with fools.”

Wealth of Nations, Adam Smith Laissez-faire economics  modern capitalism "[E]very individual, therefore, endeavors as much as he can [to direct his resources toward his own business] so that its produce may be of greatest value; 'every individual... neither intends to promote the public interest, nor knows how much he is promoting it... He intends only his own gain, and he is in this... led by an invisible hand to promote an end which was no part of his intention... By pursuing his own interest he frequently promotes that of the society more effectually than when he really intends to promote it."

The Iron Law of Wages- David Ricardo When wages are high, people have more children  more children= more competition in the workforce  wages drop  people are poor again

Thomas Malthus, “Essay on Population,” 1798 “Famine seems to be the last, the most dreadful resource of nature. The power of population is so superior to the power in the earth to provide subsistence for man, that premature death must in some shape or other visit the human race...

Robert Owen and Utopian Socialism A poor Welsh boy who grew up to be a successful factory owner, Owen refused to use child labor, fought for laws to outlaw child labor, and supported the creation of labor unions. He built a village around his factory, complete with affordable housing and a free school for the children of his workers. (Think: Why would he do this?)

Connections to Today Robert Owen founded a model village for his workers. Owen was not the last employer to provide for the children of his employees. Today, many businesses provide child-care services, either on-site or at a separate day care facility. Companies find that child care is an important issue for many people seeking jobs. One center in Denmark has tried to go a step further. Staff at the day care center will also do laundry, shop for groceries, and cook take-out dinners. Additionally, the center has a video camera hooked up to the internet so that parents can check in and see how their child is doing.

Communist Manifesto, 1848, Friederich Engels and Karl Marx “... They [the Communists] openly declare that their ends can be attained [achieved] only by the forcible overthrow of all existing social conditions. Let the ruling classes tremble at a Communist revolution. The proletarians (workers) have nothing to lose but their chains. They have a world to win. Working men of all countries, unite!” The workers will rise up and overthrow the privileged class. Private property will cease to exist. The people will own the means of production.

Questions comparing economic philosophies How do you think Herbert Spencer (Social Darwinism)would feel about welfare and food stamps? Did Adam Smith (Capitalism)believe the government should get involved and tell business owners how to run their businesses and how to treat their workers? What recommendation would Ricardo and Malthus (Capitalism)make for the working classes to climb out of poverty? How did Robert Owen (Utopian Socialism)feel about workers? How did Karl Marx and Friedrich Engels (Communism) feel about workers and their situation? The areas in black on the map are areas that were industrialized in the capitalist model. So were the capitalists right, according to this map?