Capitalism Vs Capitalism

Good Essays
2.2 Capitalism is chaotic
Marx also criticizes capitalism because of its chaotic nature. In this regard, the author states that capitalism only allows economies to thrive on crises that tend to stimulate them. As a result, Marx argues that the reliance on this crises was an avenue for creating economic havoc in the long run which is risky for the economy and the country as a whole. For that reason, Marx advocated for a planned community which will be an essential replacement for such spontaneous, erratic and freewheeling system (, 2017). Even in periods when capitalist economies seem to function relatively smoothly, without incidences such as recession or inflation, the Marxian theory depicts capitalism as a destructive economic system (Wolff & Resnick, 2012).
2.3 Capitalism breeds inequality
Karl Marx, a renowned philosopher and economist is against capitalism because he believed that created conditions that promoted inequality (Alfarsi, 2016). Capitalism creates two classes of people in society. In this regard, Marx states that capitalism results in a class of people known as proletarians who are majorly composed of the working class as well as the bourgeois which comprises of the capitalists who are the owners of the factors of production. As a result of the competing interests, capitalism creates a struggle between these two classes of people hence the reason as to why it is undesirable.

3.0 Neoclassical
Officially coined in 1900, the neoclassical
Get Access