Socialism refers to an economic system characterised by social ownership of the means of production and co-operative management of the economy. "Social ownership" may refer to cooperative enterprises, common ownership, state ownership, or citizen ownership of equity. There are many varieties of socialism and there is no single definition encapsulating all of them. They differ in the type of social ownership they advocate, the degree to which they rely on markets or planning, how management is to be organised within productive institutions, and the role of the state in constructing socialism.A socialist economy is a system of production where goods and services are produced directly for use, in contrast to a capitalist economic system, where goods and services are produced to generate profit (and therefore indirectly for use). Goods and services would be produced for their usefulness, or for their use-value, eliminating the need for market-induced needs to ensure a sufficient amount of demand for products to be sold at a profit.if its general...-China-USSR*-Vietnam-North Korea-CubaThis economic system is designed to promote equality but rarely achieves it. Nations that have, in the past, only used this system are Russia (i.e. United Soviet Socialists Republic) and China. This system could be known as socialist or communist. Venezuela Cuba
Capitalism is an economic system based on the private ownership of capital goods and the means of production, with the creation of goods and services for profit. Elements central to capitalism include capital accumulation, competitive markets, and a price system.Capitalism is defined as a social and economic system where capital assets are mainly owned and controlled by private persons, where labor is purchased for money wages, capital gains accrue to private owners, and the price mechanism is utilized to allocate capital goods between uses. The extent to which the price mechanism is used, the degree of...
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