@EmperorNero,
Nero,
In response to your post a few pages back in which you provided your interpretation of the various economic systems, I see two problems.
First, one cannot categorize the various systems accurately on the sort of diagram you have. It wouldn't be perfect either but I think an improvement would be to go with a two dimensional graph. I am not going to go through the process of drawing it out, but along one axis would be the type of resource distribution with one end being common/collective and the other being individual. Along the other axis would be generally the method of resource distribution with one end being a command economy and the other being pricing market economy.
Secondly, I think these systems need to be described, as they have been slightly mischaracterized.
Capitalism is a system in which the factors of production, such as land, labor, machinery, and so on are owned privately and individually. It generally rests upon a market system, as private ownership carries with it the right of trade and disposal. However, a market system does not necessarily lead to capitalism as we know of it today.
A principle characteristic of capitalism is the separation of laborer from capital. This is explained by the concept of time preference. Briefly, the worker forgoes the risk and waiting associated with the future earnings of capital for the discounted present earnings of simply laboring with another's capital.
In my opinion, capitalism as we know it is facilitated by state intervention on behalf of moneyed and powerful interests.
Socialism, on the other hand, is largely a reaction to the mercantilist/capitalist development of the Western economy. It is not really a specific economic system or theory like capitalism, rather it is a nebulous collection of complaints and explanations of the problems of capitalism. To explain really what socialism actually is, one needs to understand its principle complaint: that private property ownership, more accurately the factors of production (many socialists distinguish between property and possessions) causes exploitation of the labor force. This exploitation occurs through wage slavery, as the owners of capital extract more labor value from the workers than what the laborers are getting paid.
Now, so far in this thread socialism has been portrayed as a statist proposal, but this is not necessarily true. A long list of self-proclaimed socialists have argued that capital ownership exists not in spite of government intervention, but precisely because of it. They have argued that certain perpetuated government monopolies, money, land, banking and credit, etc, are the only reason the capital/labor divide could be maintained. Socialists like Proudhon, Tucker, and other mutualists believe in a free market where the contract is maintained, but invision a system of collective actions and worker self-management.
I will continue with more later, but you can comment and reply all you want.
---------- Post added at 03:41 PM ---------- Previous post was at 03:38 PM ----------
xris wrote:Ah we come from a view that considered my debating skillls as those of an inferior being and you take the high road..:perplexed:
Look around you and see the unfortunate, what do you presume? when a nation can have such a divide from fortunate to destitute, dont lecture me on consideration.I judge a community on its less fortunate not on the excesses of its successful rich.
Justice cannot be judged in such a way. It is a process and not an end.