Capitalism An economic system based on private ownership of land, businesses, factories, railroads, etc. that are used to produce a profit. Usually associated with democracy. Thomas Malthus Adam Smith Herbert Spencer David Ricardo

Adam Smith Wrote Wealth of Nations believed in laissez- faire “Capitalism at its Best” hard work bigger business more jobs more workers competitio n “Father of Capitalism” profit more goods produced people do their best

Herbert Spencer economic “survival of the fittest” believed in laissez- faire Social Darwinism the government must let the “unfit” (the weak, lazy, stupid)…die off

Capitalism Positives higher standard of living lowest taxes of the 3 competition = better quality social mobility

Capitalism Negatives will always have the poor will always have unemployment gap between rich and poor exploitation of workers no social safety net ("survival of the fittest" )

Socialism An economic system in which government has ownership and control of parts of society (usually factories and major businesses)... …for the good of the people. Robert Owen Charles Fourier

Socialism Positives government takes care of education, health care, elderly, etc. less gap between the rich and poor less unemployment

Socialism Negatives high taxes fewer choices less incentive what if the government is corrupt?

Communism An economic system in which all property, land, businesses, factories, railroads, etc. belong to the people... (“Theoretical or Ideological”) …for the good of the people. Friedrich Engels Karl Marx

capitalism = exploitation the people should control property & means of production class struggle: Friedrich Engels bourgeoisie vs. proletariat religion = tool for oppression

violent revolution needed

“Let the ruling classes tremble at a Communist revolution. - Karl Marx and Friedrich Engels, Communist Manifesto The proletarians have nothing to lose but their chains. They have a world to win.Workers of the world unite!”

A classless society in which people share equally in the work and the wealth. Result:

Marxism: workers lead a violent revolution capitalism falls brief “socialist phase” to prepare proletariat ("dictatorship of the proletariat") true communist society (a.k.a. “theoretical communism”):

Historical Communism: workers lead a violent revolution capitalism falls DICTATOR needed for a TRANSITIONAL phase DICTATOR needed for a TRANSITIONAL phase true communist society true communist society

Communism A political and economic system in which government controls every aspect of life (i.e. business, education, religion, press, housing, size of families, music, etc.) Historical An extreme form of socialism. Vladimir Lenin Joseph Stalin Mao Tse-Tung Kim Jong-il Nicolae Ceacsescu Fidel Castro Pol Pot Ho Chi Minh Richard Martin

Communism Positives no homeless 100% employment no gap between rich and poor stability no exploitation of workers

Communism Negatives true communism has never existed limited freedom little incentive shortages or poor quality

Working it out: 3 economic systems Create a brochure advertising the benefits and wonders of one of the three economic systems Capitalism Socialism Communism Be creative...include factual details and visuals to make it look appealing and "sell" the system you choose!