Understand the Major ideas of Capitalism, Socialism, and Communism Economics Understand the Major ideas of Capitalism, Socialism, and Communism

Capitalism Free Enterprise Sytem- economic system characterized by private or corporate ownership Based on Drive and iniative 4 major factors- ownership, initative, profit, competition Supply and Demand Laissez faire Theory- small role Invisible hands Mixed Economy

Pros and Const of Capitalism Private ownership Self made Men and Women Free Elections Lower Taxes Less Government Intervention Cons Monopolies Trust Classism No looking out for the social welfare High Risk

Socialism Idea that the benefit of the economy should be spread out equally through society Some public ownership Government ran programs Government intervention in Industry Rich and the Poor are equal Industrial Revolution Karl Marx- Communist Manifesto Taxes are around 50-60 %

Pros and Cons of Socialism Supply everyone with basic needs Morally Superior Makes more political Democracy More say in the work field Cons Develop to many layers of government Slower development on technology Deprive people of deciding on their lives at home No incentive to work harder

Communism The idea that the benefit of the economy should be spread out equally through society according to a dictator One communist party. Everyone is equal Most things are owned by the government No real individual rights

Pros and Cons of Communism Supply everyone with basic needs Quick Decision making in times of need No rebellion against the government Centrally planned economy Cons A Government usually based on a dictatorship Slower development on technology Rule by military force Deprive people of deciding on their lives Force to work harder