capitalism and socialism are two political-economic systems that are opposites.
O socialism it consists of a theory, doctrine or social practice that proposes the public appropriation of the means of production and the suppression of differences between social classes. This system suggests a gradual reform of capitalist society, distinguishing itself from communism, which was more radical and defended the end of the capitalist system and the fall of the bourgeoisie through a revolution armed.
Scientific socialism, also known as Marxism, had as one of its goals the understanding of the origins of capitalism, and announced the end of that system. The proletarian struggle encouraged by scientific socialism had the same international character as capitalism and needed a centralized, cohesive, party organization.
At the end of the 19th century, all socialist parties aimed to fight for a classless society and believed in the replacement of capitalism by socialism. However, two trends emerged among the parties: a revolutionary one, which defended the principle of class struggle and revolutionary action, without accepting collaboration with bourgeois governments; and the reformist, who accepted joining governmental coalitions (social-democracy).
According to Marxist-Leninist theory, the construction of socialism corresponds to the transitional period that comes after the fall of capitalism and that precedes the establishment of communism.
On the other hand, the capitalism aims to increase income and make a profit. Many criticisms were made in relation to this system, as the concentration and distribution of capitalist incomes depend a lot on the particular conditions of each society.
At its inception, capitalism was responsible for serious deformations and social conflicts, as the industry, which was not well developed, it was not able to organically incorporate the salaried workers, nor was it able to alleviate their insecurity economic. Only later, when there was an increase in the production of goods, was there a significant rise in the standard of living of workers.
The dynamics resulting from the struggle for wage increases and for the participation of all production agents in the process of capitalism itself is the main economic characteristic of the 20th century and gave rise to several positions. Among them is radical communism (with the nationalization of all means of production) and concertation by the agreement for the distribution of income between managers, capitalists, workers and services.
At the end of the 18th century, several thinkers denounced the deficiencies of the capitalist system, criticizing the inherent social injustices. Criticism arose along with alternative solutions by these social reformers who called themselves utopian socialists. A fairer working and social order was proposed, in which men could develop their innate tendency towards solidarity and associative life.
Main Differences between Capitalism and Socialism
These two systems have many differences, because they are opposites. Whereas in capitalism the government intervenes little in the economy, in socialism there is a great deal of government intervention. Capitalism favors those who have money, and gives individuals freedom to create businesses, but creates very distinct social classes and consequent social inequalities.
Socialism has as its vision the common good of all individuals in society, with the government providing what is needed by the citizens. A disadvantage of this system is that it is difficult to establish businesses when everything is controlled and limited by the government. Another limitation of socialism is that its implementation is very complicated, and in many socialist countries today, people are exploited by their governments.
See too:
- Characteristics of Capitalism
- Characteristics of Socialism
Cold war: the conflict between capitalism and socialism
The Cold War was the conflict of countries that represented capitalism and socialism and that sought to dominate the world. The two main players were the United States (capitalism) and the USSR (Soviet Union, now Russia). The designation "cold" was given because there were no direct attacks, despite the incredible military power of the interveners. A military conflict could have catastrophic consequences, and could even mean the destruction of the Earth.
The Cold War ended in the early 1990s, with the victory of the United States and capitalism, which explains the predominance of this political system today.
See too:
- Socialism
- Capitalism