Ideals of C apitalism and Communism VS

1. Ideals of Capitalism and CommunismVS The realities of Capitalism and Communism

2. Ideals Capitalism Communism Creation of a classless society (Marx & Engels) Abundance shared The most important parts of the economy owned by the state (national or local). The “majority” (workers) have the power Direct Elections/multi-party system Religion not allowed in education or government • Privately owned land and business – inherited by families • Market economy – free competition • Private Wealth does benefit society • Indirect Democratic system, rule of law, and some form of “Bill of Rights” as seen in the West – essential freedoms

3. Ideals Both in their purest form could be noble. Engels always believed that communism should have freedom of the press, democracy, and justice. Adam Smith, and other capitalist theorists, believed that private wealth (capitalism) would be used for the improvement of mankind. Yet, Stalinism and Oligarchical practices undermined these systems.

4. Realities Capitalism Communism One Party System in Russia after 1921 In the USSR party bureaucrats rather than workers controlled the State assets. Elites secured great privileges for themselves Secrecy and brutality • Before WW II Governments often assisted business against strikers. Depressions. • Banks and big business supported the Nazis • Some great success in developed West after 1945 • Shocking exceptions in the Developing World or Third World • Poverty caused by major powers • Dictatorships by rich – sponsored by West • Very corrupt and violent

5. Communism and Capitalism – similarities and differences • Both were prepared to be violent. • Communism accepted/promoted revolution. • Capitalists were prepared to defend nations threatened by communist revolution or even intervene to shape a nations policies. • Both were prepared to support governments they didn’t like • BUT both did work together to destroy fascism

6. Something to consider • The West, during the Cold War, was determined to focus on the excesses of the Stalinist regime even after he had died in 1953. • Many in US politics believed, or wished to believe that Stalinism began in 1917 and ended in 1991 and that Stalinism and Communism are the same thing. • Sadly, despite the fact that Nikita Khrushchev softened the policies of the USSR after 1956 the West still viewed the USSR as though it hadn’t changed! For example the Gulags were ended. • Later, Jimmy Carter and Ronald Reagan resurrected the “Evil Empire” rhetoric in 1979 which reintenified the Cold War.

7. Yet • In 1945 the gap in the political practices between the USSR and the USA were clearly visible. Stalin had been brutal to his own people and to Eastern Europe. • Stalin had eliminated the “old guard” communists who might have challenged him and restored the form of communism that Marx and Engels desired.