Newell-Fonda High School
Newell, Iowa
By Sarah Kelly
12th grade
What do capitalistic and socialistic governments stand for? Capitalism means the complete separation of economy and state. Capitalism is the social system based upon private ownership of the means of production, which compromises a completely uncontrolled and unregulated economy where all land, ideas, and companies are privately owned. Socialism, on the other hand, is completely different. Socialism is the system of social organization in which the means of production and distribution of goods are owned and controlled collectively or by the government. Supporters of socialism believe that the ideal condition of mankind would be an equal distribution of all consumer goods available. These people are not allowed to formulate and carry out individual ideas for profit. Supporters of capitalism believe people should have the right to ownership of an idea and capacity to make something of it. To some capitalism is comparable to one word, this word being opportunity. Socialism, on the other hand, can be easily categorized as a monopoly in favor of the government. Some see socialism as a legalized way for the government to steal from the people of the country. Some weigh the options of these two governmental policies and see capitalism as a governmental policy that people tolerate. The United States is in turn a democracy where people want the best for each other. Would this be better shown as a capitalistic country or a socialistic country? Morally capitalism is the more appropriate of the two and makes the most sense, as it requires interpersonal relationships, and includes the protection of individual rights and freedoms in which the government cannot intervene.
Socialism is compromised of people being told by the government to give, but never receive back as individuals. Socialism is a government demanding self-sacrifice to and for the country. The socialistic ideal is comparable to one’s limitations on freedoms in many aspects of his or her lives. These people do not have the option of patenting new ideas for their own profitable use. If anything, the idea becomes the government’s. How is this possible? Socialism gives the government the right to take what is the people’s and make it their own as if they themselves came up with the brilliant movement or reform. Many find it hard to believe that people would want and accept this lifestyle for themselves. Why would they want the government to take credit for anything and everything produced from their country? The people have no way of expressing themselves except through their country and what their country sees fit concerning their reputation. Socialism is indeed a way for everyone in one particular country to have equal wages and equality in many aspects. Many see this as the only fair way to live and that everybody should be judged and handed the equal opportunity with no chance to succeed on their own. This promotes no individual pride. These people should realize that in order to give their best, sometimes one must receive according to their own free will and accomplishments. Everything socialistic people stand for goes behind the name of someone else instead of their own. There is no incentive for one man to want to work harder than the next because either way the loss of the slacker will be equally shared amongst the people, and the same with the gain of the hard worker. Socialism is a lazy and non-aggressive people’s view on the world and includes no drive to want better for themselves as a person rather than always being categorized as a whole. None of these characteristics have made the have made the United States government what it is today.
Capitalism is composed of individualists working together to gain knowledge and accomplishments as a team and on a personal level. Here in the United States people strive to be better and express themselves on an individual basis. This country is strong because it is composed of millions of people working hard everyday towards both personal and national goals. The United States is a perfect place to live and have equal opportunities and equal judgment of the law, but be able to reap from their hard work according to how they see fit. People belonging to this way of government realize that they only gain what they put into their work and their careers. They have reason to push themselves and want more. The government in the United States cannot take one person’s sole idea as their own and use it for the good of the country. This person’s sole idea belongs to him or her and may be patented for his or her own personal use only without further permission. Capitalism gives the people the opportunity to rise above their peers and use their abilities to profit and pass their wealth down through generations of their families. Capitalism provides for an economically strong, diverse, and original country, like that of the United States.
Capitalism provides for an individual, powerful country composed of people willing to make choices based upon the freedoms given to them. This government ideal which promotes entrepreneurialism wouldn’t be possible without being able to make decisions for one’s self, being able to own land, or having the law as a fair judge for all, all characteristics of the United States. America’s citizens have the freedom to experiment and invent to their own individual liking without the government intervening or trampling on their rights, thus resembling a capitalistic form of government. Both capitalism and socialism have their advantages and disadvantages. There are winners and losers in both forms of government. The winners in a capitalistic government are the hardworking and industrious, while the winners in the socialistic view of things are those completely dedicated to their country as a whole and who are willing to sacrifice. When the facts are compared and weighed between capitalism and socialism, it is clear to see where the United States stands.
Answers To Questions Prompted By The Required Reading
1. What does Mr. Reed mean when he says “Equal people are not free.”?
That if everyone’s income and wealth in society are made equal, no one will be free because the people with the abilities to do better and make more money will be forced to be restrained with their earnings and capabilities and won’t be free.
2. What is the deadly trade-off to reliance upon government, according to Reed?
That if you rely too much on the government and become too dependent on them, they can take a lot from you.
3. Why did the Founding Fathers assure that the United States became a republic
Rather than a pure democracy?
Because it’s a way that almost anyone can voice their opinion on government matters by running for office, voting, and public speaking.
4. What is the saving grade of democracy according to Lawrence Reed?
A political change without violence.
5. Richard Haas gives two unusual reasons for advocating democracy. What are they?
It can discourage terrorism and mature democracies tend not to make war on one another.
6. Give two reasons you personally would promote democracy.
Because people can have a say in what goes on and who controls their government and it seems to have made our country pretty successful.
7. Comment (any length) on President Bush’s current foreign policy.
Bush seems to be promoting the replication of the U.S. government and might not understand that every country has different needs and means of functioning.
8. How did you interpret each of the four different hats (“officials with fine hats”)?
That there are different levels of society: the crown belonging to the king in rule, the graduate as the student or the wealthy of society, and the regular top hats representing your normal citizens.
9. How did you interpret the megaphone, baby, knife/gun (“No matter how officials are selected”)?
That politicians can gain office in different ways, these being, by speaking what they believe, being born into politics, or by violence/force.
10. Browse the “Favorite Links” of the Economic Freedom Network http://www.freetheworld.com/other.html and share one of your favorite discoveries with us. Make sure you copy the url. Tell us why you chose it.
http://www.cato.org/ I liked this site because it represented our country’s positions on world trade.
11. Once again go to www.freetheworld.com and this time note the question asked near the top of the page: “How much economic freedom exists in y our country?” and randomly choose five countries. List the names of each and their highest and lowest year for economic freedom.
Bahamas – highest (1975, 2003), lowest (1990)
Chile – highest (1995, 2000), lowest (1975)
Greece – highest (2003), lowest (1985)
Germany – highest (2000), lowest (1975)
Hong Kong – highest (1995), lowest (1990)
12. Which of your five countries had the greatest degree of economic freedom according to this exercise?
Hong Kong.
13. What was the summary rating and ranking in the year it achieved this degree of economic freedom?