INTRODUCTION

socialism, general term for the political and economic theory that advocates a system
of collective or government ownership and management of the means of production
and distribution of goods. Because of the collective nature of socialism, it is to be
contrasted to the doctrine of the sanctity of private property that
characterizes capitalism. Where capitalism stresses competition and profit, socialism calls
for cooperation and social service. In a broader sense, the term socialism is often used
loosely to describe economic theories ranging from those that hold that only certain
public utilities and natural resources should be owned by the state to those holding that
the state should assume responsibility for all economic planning and direction. In the past
150 years there have been innumerable differing socialist programs. For this reason
socialism as a doctrine is ill defined, although its main purpose, the establishment of
cooperation in place of competition remains fixed. Sweden is an example of a country
with a strong socialist tradition and the high taxes that go along with it.
DEFINITION

A national financial system based on the public or

cooperative ownership and administration of primary
production capabilities. In a socialist economy,
production involves the goal of creating useful services
or goods of value. Such economic systems typically
employ central planning and use accounting systems
based on the labor hours expended in production.
CHARACTERISTICS
Ownership of resources

Owned by the government

Decision maker
Government and central planning institution

Prime determination
Government
CHARACTERISITICS
Freedom to reap profits
No freedom

Freedom of choice
Determined by the government through central planning institutions

Production objective
Priorities social and community welfare
 ADVANTAGES
THE NEEDS ARE MET
health,education is
free,food is supplied
ELIMINATES GREED
No individuals person
can have much more
than other
MOBILIZATION OF GOODS

EVERYONE DOESIT KIND OF

ensure that some of the most basic
and needed thinds are given
 DISADVANTAGES
A HISTORIC FAILURE
All through out history countries havetested out the idea of socialism, and all of them have crumbled and
failed miserably. This is one of the biggest problems with socialism, the fact that it has been proven not to
work, no matter how many different tweaks the government try to instill.

NOTHING IS YOURS
it is strictly forbidden to own private property in a socialistic society. This makes it so that nothing you have is
your, its belong toeveryone or the government. Nobodyfeels the need to work hard , learn new skills ,
orput effort into anything because they can never truly obtain anything.

ITS EXPENSIVE
It costs a whole lot of money to provide everyone with the things that they need, and this money has to
come from somewhere. In order to subsidize where the funding comes from, all of the money that is made
by the citizen s is taxed at extreme percentages in order to cover all of the costs.
CONCLUSION
In a nutshell, socialism is not an imposition on the rich by the poor, in Aristotles phrasing
of the danger. It is and instance of the rule of all by all, under common terms of
association and it is and instance of and intervention by the state that belongs in a larger
package. It is not factional politics.
REFERENCES
http://www.businessdictionary.com/definition/socialist-economy.html