key term - Communism

Definition

Communism is a socioeconomic and political ideology that advocates for a classless, egalitarian society where the means of production are collectively owned and controlled. It is a system that aims to reorganize economies and societies around the principle of common ownership and the equitable distribution of resources.

5 Must Know Facts For Your Next Test

1. Communism seeks to abolish private property and establish common ownership of the means of production, with the goal of creating a classless, egalitarian society.
2. The core principle of communism is the idea of 'from each according to his ability, to each according to his needs,' which emphasizes the equitable distribution of resources.
3. Communism is often associated with the concept of a centrally planned economy, where the government controls and coordinates all economic activities.
4. Historical examples of communist states include the Soviet Union, China, Cuba, and North Korea, among others.
5. Communism has been criticized for its suppression of individual freedoms, political dissent, and the concentration of power in the hands of the state.

Review Questions

• Explain the key features of a communist economic system and how it differs from a capitalist system.
  • A communist economic system is characterized by the collective ownership of the means of production, where the state or the community as a whole controls and manages the economy. This contrasts with a capitalist system, where private individuals or corporations own and control the means of production, and the market determines the allocation of resources. In a communist system, the goal is to achieve an egalitarian distribution of resources and eliminate class distinctions, whereas a capitalist system is based on the accumulation of private wealth and the existence of social classes.
• Analyze the role of the state in a communist system and how it differs from the role of the state in a market-based economy.
  • In a communist system, the state plays a central and dominant role in the economy, making all decisions regarding the production and distribution of goods and services. The state owns and controls the means of production, and it is responsible for coordinating economic activities, allocating resources, and determining the distribution of wealth. This contrasts with a market-based economy, where the state plays a more limited role, primarily in establishing the legal and regulatory framework, and the market forces of supply and demand determine the allocation of resources and the distribution of wealth.
• Evaluate the potential benefits and drawbacks of a communist system in the context of economic development and social welfare.
  • Potential benefits of a communist system include the elimination of social and economic inequalities, the provision of basic necessities to all citizens, and the potential for efficient resource allocation and utilization. However, the drawbacks of a communist system include the suppression of individual freedoms, the lack of incentives for innovation and productivity, the potential for bureaucratic inefficiencies, and the concentration of power in the hands of the state. The historical experiences of communist states have often been characterized by economic stagnation, political repression, and the failure to achieve the egalitarian ideals that communism espouses.

Related terms

Socialism:

An economic and political system in which the means of production are collectively owned and controlled, and the distribution of resources is based on the principle of social ownership.

Marxism: A political and economic theory developed by Karl Marx, which forms the basis for communism. It emphasizes the role of class struggle in shaping society and the ultimate goal of a classless, communist society.

Centrally Planned Economy: An economic system where the government, rather than the market, makes all decisions about the production and distribution of goods and services.