1. “ISMs”: Capitalism, Socialism, Communism

2. What you need to know AND what you write: What is Capitalism? Believes in individual ownership and competition Has the theory that when everyone is selfish, it benefits everyone Adam Smith is “THE” capitalist; who wrote Wealth of Nations

4. What you need to know: What is good about Capitalism? Freedom and choice You can work wherever, buy whatever, and pretty much do whatever If you are successful, you can be very successful. i.e. Bill Gates, Mark Zuckerberg, Steve Hartman What is bad about Capitalism? No “safety net” If you are unsuccessful, you can be very unsuccessful. i.e. poverty, homeless There is a big gap between rich and poor

5. What you need to know AND what you write: What is Capitalism? Believes in collective (group) ownership and a planned economy (government makes decisions) Has the theory that when everybody pools their resources and labor to evenly distribute everything Karl Marx is “THE” communist; who wrote The Communist Manifesto and Das Kapital

7. What you need to know: What is good about Communism? Security, basic needs are met Everyone would have a job, house, health care, etc. What is bad about Communism? Lack of choice No reward for being a better worker (no incentives) Everyone is expected to be the same (no growth)

8. What you need to know: Communist Manifesto 1848 Focus on class struggle = bourgeois/middle class and proletariat/lower class The book discussed Abolition of property Heavy, progressive taxes Abolition of inheritance Confiscation of property of all emigrants and rebels Central banking State-controlled communication and transportation State-controlled education of the children

9. Marxism Marx and Engels studied the history of the world’s economies Basic Communism Feudalism Capitalism Communism!!! Socialism They believed they discovered an inevitable pattern

10. What you write: SOCIALISM IS THE STAGE BETWEEN CAPITALISM AND COMMUNISM What you need to know: What is the difference between Socialism and Communism? It builds upon the previous system (Capitalism) by nationalizing the factors of production BUT not making everyone equal People are paid wages based on several factors (social need, difficulty, amount of schooling required, etc.), so not everyone will make the same wage.