Capitalism vs. Communism :: Compare Conrast Comparison

Capitalism vs. Communism For many years the United States as looked upon communism as an evil and must not spread to other countries. The Cold War is a perfect example of this; we spent 40 years in terror due to this way of thinking. Now we understand that communism is not an evil just another way of organizing a country. Capitalism and Communism has its own ideas on how a government should run, whether it’s through advancement of people According to Minsky capitalism is not just the market economy, but it is also a financial economy (1). Minsky states that there are two sets of prices, first is the prices of current output, and second consist of the prices of assets (1). Capitalism is an economic system characterized by freedom of the market (essay.com 1). Capitalism is different from many other economic ideas by the fact that capitalism gives individuals freedoms with minimal government interference. In a market capitalist system, capital and land are private property (Haramis 1). From this enterprises can be formed by individuals by attaining land and equipment. An enterprise organizes and directs production. The United States is known as a post-industrials economy, this means that the United States is a service economy. There has been several different types’ capitalism that has influenced the world. First was Adam Smith’s idea about capitalism, which is proprietary capitalism. During this era of capitalism there were few corporations and probably none as we know them in our times (Haramis 1). The second form of capitalism is the progressive capitalist economy. In this form of capitalism, investment outputs are part of the current output (Minsky 2). Although capitalism has been through several changes throughout the years the capitalistic economy system has been the most influential economical as well as political system. Like capitalism communism also has many benefits for its people. First everyone has a job and is treated the same. Communism can be defined as an economic and political system in which facts of production are collectively owned and directed by the state (essay.com 1).