I’m trying to identify the element that causes communism to fail in modern day society for a class, and heres what I’ve come up with.
Basically two economical societies existed in ancient time that both flourished in there own way, trade based economies and commune based societies. Trade based societies relied on an individual to create his own product which would be used to trade for other products needed to survive. Commune societies mandated the production of goods to be distributed by a centralized body to it’s members. Does the conflict of the introduction of currency inevitably doom modern day communism because it’s trade based qualities? Seemingly, currency is a result of the progression of the trade based society, thus the communist mindset is in conflict with its distribution.
Of course there are unseen variables, but does this seem to be a valid thesis. Intelligent answers only please.
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Lone Wolf 21st February 2010
In my opinion the major difference between communism and capitalism is that capitalism is based on competition and communism (although I prefer socialism) is based on cooperation. The use of money lends itself to a basic problem; a person’s perceived relative value becomes overly dependent upon the amount of capital they accumulate, regardless of how this is done. The value of a person’s contributions to society tends to be measured in arbitrary terms rather than absolute value. This separates what a person does from how a person is rewarded. Along with this separation comes the tendency towards inflation. When you place any value on an item or service then it is a natural (competitive) thing for someone else to place a higher relative value on their own goods and services to over-compensate for what they have to pay you. Then it’s your turn again – ad infinitum.
me 21st February 2010
Greed causes communism to become corrupt. And as greed is a basic human trait, communism cannot work the way it is intended.
AL R 21st February 2010
Communism fails because it does not take human nature into account. Period.
I , a Bolshevik 21st February 2010
Karl Marx said that for a Socialist/ "Communist" Revolution to ve succesfull it was needed to happen in an advanced Capitalist country,that the first Revolution happened in Russis was not a bad forecast , its how History develops. The Russian Revolutionaries , Lenin and Trotsky, were waiting for a succesfull Revolution in Germany,that was bloodily crushed.
Russia an undeveloped and poor country had to face all the problems at the same time.A civil war, invasion by all the powers of that time,and two Wars,the hostility of all Capitalist countries, etc.
Dont forget that there are hundreds of failed Capitalist countries: Haiti, Israel,Bolivia, Paraguay, Pakistan, India, Indonesia, Egit, Greece, Portugal, Spain, Kenia, Nepal, Nicaragua, etc, etc, etc, just a few Capitalist countries are "succesfull" and that is due to the oppresion of other countries.Nothing else.
ideogenetic 21st February 2010
No, it’s an information problem. A centrally planned economy like primitive communism at the tribal level can succeed because there isn’t an overwhelming amount of information needed to plan.
In larger economies, markets handle more information better than central planning, but not always efficiently. If central planners had timely information (consumer preferences, resources available, surplus opportunities for export, etc), central planning would be superior to markets.
The Soviet central planners tried to use paper and pencil to plan their massive economy. If the Soviet Union had instead existed in an era of supercomputers and a connection to consumers (like an internet), their planning could have been superb.
lsu tigers 21st February 2010
I think the basis of capitalism what makes it so successful. The motive to truck, barter, and trade to increase ones personal utility creates the most efficient outcome. The motive to profit decides which goods are created, how they are created, and how they are distributed. In communist countries goods were produced that were not demanded. Price controls created shortages. Simply the success of capitalism has created the fall of communism.
Money was introduced before communism and virtually had little affect on the fall of communism. Communism grew and was somewhat successful during the 20th century.
The problem with Communism is the absence of profit motive. No one has any motive to produce more or work harder to increase their personal utility. Moreover, the production of goods was strictly controlled by the government. This means many goods were produced that were not marketable. Not only that but strict price controls created shortages. The self regulated market is superior to any government run economy. No one can duplicate the effeciency created by the self regulated market.