Comparison of Free Enterprise and Communism

download print

About this sample

About this sample


Words: 622 |

Page: 1|

4 min read

Published: Feb 12, 2019

Words: 622|Page: 1|4 min read

Published: Feb 12, 2019

Let's start by introducing capitalism; capitalism supports the idea of private property, believes society can do better when an individual is able to purchase and produce as they please. On the other hand, socialism is the theory that property ownership should be controlled by government, and that the government can do more with the assets than individuals are able to. I for one do not think society should run in a pure socialism or a pure capitalism, I believe that a proper society works best by using bits and pieces of both forms of governments. To help you better understand my stance between capitalism and socialism, it is would be very helpful to have some knowledge on the differences, advantages and disadvantages of both systems.

'Why Violent Video Games Shouldn't Be Banned'?

The difference between capitalism and socialism are far greater than one would expect. Capitalism is a system that allows each person to have the right to have their own wealth. Capitalism labels that you can invest your own money in someone else's business; this system in one condensed statement is all about freedom and one's individual rights, everyone can do whatever they want to do. On the other hand, socialism is a system where the government owns everything and that the individual owns nothing. You do not get to have your own money and you are not paid to work. Your own home is the government's property. In this system the government gets all the wealth that is produced by all the people in their country, and with all the input of money they give a smaller output to give the people houses and food. This system provides no incentive to do your best or be creative, rather just live. To wrap up socialism in one little sentence this system is classified as individuals being locked in a cell.

Advantages within these two classes are quite simple and easy to comprehend. Capitalism has the advantage of providing greater incentives for individual labor and further achievements. Socialism works to offset these shortcomings by redistributing some of the excess wealth that is created from the top back down to the lower classes. This can work to increase demand for goods, and for labor. This is a great way of helping to correct the unbalanced lifestyles, as well as helping to maintain the basic welfare of the lower classes. Ideally ensuring that they are able to overcome any hardships and continue to put both their labor and wealth back into the economy.

Get a custom paper now from our expert writers.

Between both of these two systems of living, a few disadvantages exist. The disadvantage in capitalism is that those at that top will always be wealthy beyond what may in fact be fair. At times they may exclude those at the bottom from participation in large scale economies, in times where technological capacities and lowered demand for goods leads to surplus labor. Now within socialism lie a couple of disadvantages. First is the concern that by ensuring the survival of the lower classes under any and all circumstances, you may remove any motivation to contribute their labor at all. Secondly, there is the concern that the ruling bodies that create these programs of redistribution will tend to allocate wealth in such a way that it simply flows to them, rather than the upper class which it originally was taken from, or the lower classes it was supposed to help. The underlying problem with any economic system is simply that human nature will always cause wealth to accumulate at the feet of those who have the most power, and that no system of government yet conceived can genuinely distribute control in a way such that everybody has exactly the amount they genuinely need and deserve.

Image of Prof. Linda Burke
This essay was reviewed by
Prof. Linda Burke

Cite this Essay

Comparison of Free Enterprise and Communism. (2019, February 12). GradesFixer. Retrieved April 17, 2024, from
“Comparison of Free Enterprise and Communism.” GradesFixer, 12 Feb. 2019,
Comparison of Free Enterprise and Communism. [online]. Available at: <> [Accessed 17 Apr. 2024].
Comparison of Free Enterprise and Communism [Internet]. GradesFixer. 2019 Feb 12 [cited 2024 Apr 17]. Available from:
Keep in mind: This sample was shared by another student.
  • 450+ experts on 30 subjects ready to help
  • Custom essay delivered in as few as 3 hours
Write my essay

Still can’t find what you need?

Browse our vast selection of original essay samples, each expertly formatted and styled


Where do you want us to send this sample?

    By clicking “Continue”, you agree to our terms of service and privacy policy.


    Be careful. This essay is not unique

    This essay was donated by a student and is likely to have been used and submitted before

    Download this Sample

    Free samples may contain mistakes and not unique parts


    Sorry, we could not paraphrase this essay. Our professional writers can rewrite it and get you a unique paper.



    Please check your inbox.

    We can write you a custom essay that will follow your exact instructions and meet the deadlines. Let's fix your grades together!


    Get Your
    Personalized Essay in 3 Hours or Less!

    We can help you get a better grade and deliver your task on time!
    • Instructions Followed To The Letter
    • Deadlines Met At Every Stage
    • Unique And Plagiarism Free
    Order your paper now