Mao's Take On Capitalism During The Industrial Revolution

Among economists, it is said Adam Smith is one of the main contributors to modern free market economics. His thoughts attacked mercantilism which was the prevalent form of government at the time. His works provided systematic rationales in the subjects of capitalism, free markets, and limited government intervention. His most popular books changed history because without them, many of these thoughts and ideas would not be so prevalent. Smith is regarded and cited as the father of modern economics. With this said, not all of Smith’s ideas were in agreement with laissez-faire. Although Adam Smith pioneered many ideas on modern free market economics, Smith cannot be depicted as a defender of laissez-faire because of his ideas on

Marx thought of capitalism in a pessimistic way, he saw the relationship between the employee and employer in a capitalistic society as toxic. To Marx, in a capitalistic society the employee would always be at a constant struggle for power be never endlessly repressed by the bourgeoisie. The employer would pay employees only what they needed to survive making it impossible to move up in class or society. He also recognized that in capitalism everything becomes corporatized. Things like marriage go from a sacred bond between two individuals that once never included money or the government, to something that is regulated by the national government and must be done through the federal court and include ties between the individual's financial status. Small businesses would also become corporatized, a local family doctor has now become part of a larger practice that brings in complex forms of payment such as insurance instead of simply paying a small family doctor directly. He also goes into the downfall of capitalism. The way capitalism works is through a series of economic highs and lows, each high is marked by prosperous times, high employment rate, and overall happiness. But the lows are marked by deterioration of the national economy, low employment rates, and struggle for all classes. To Marx’s these highs and lows are what's killing capitalism with each low being worse than the last until the people revolt and create a new form of government. The next would be socialism and once this fell like capitalism, the new governing system would be communism. Communism is an ideal system where people are never struggling for money and are paid based on their needs rather than their particular job. Through this system a

The Free Enterprise System allows individuals to have a chance of becoming successful in life. Free enterprise, also known as capitalism, is an economic system where the individuals in the economy have the freedom to participate in the business world without government intervention. The system has made many prosperous. An example of a wealthy person succeeding from this system is Andrew Carnegie. The Free Enterprise System is necessary in the business world.

Free enterprise is an economic system in which a private business operates in competition and largely free of state control. In the movie Roger and Me free enterprise

This onslaught of capitalism directly revolutionized modern industrialism as well as the industrial city. Machines morphed the predominately agricultural nation to a herd of factory and corporate workers. Swarms of people, both native and immigrant, flocked to major cities. “The present century has been marked by a prodigious increase in wealth-producing power. The utilization of steam and electricity, the introduction of improved processes and labor saving machinery, the greater subdivision and grander scale of production, the wonderful facilitation of exchanges, have multiplied enormously the effectiveness of labor.”(George, p.20) The major problem with this newfound industrialism was the way in which the workforce was treated. Capitalism was supposed to provide a way out, a way ascend the financial and social staircase, if you worked hard enough. This however was not the case, if you were a loyal, hardworking employee you simply got to keep your job, and if you were in any way injured or incompetent you were fired.

The bourgeoisie created capitalism using revolutionarily activity but in doing so it also created the proletarians who Marx believed could use revolution to bring an end to capitalism. The proletariats were a class that depended on selling their labor to survive. Being just another commodity

Despite the continuation of capitalism, the middle class successfully emerged as the dominating class in our society. As Lewis Corey states, “Workers were becoming capitalists, the capitalists becoming workers.” Industrial capitalism spawned a middle class, molded the exact same way that Marx predicted in his major work.

Since the early days of the United States, the Founding Fathers and other brilliant minds sought ways to understand and make sense of the inner workings of society and the economic market. Out of the many thinkers and developers of that time period, perhaps none made so great an impact on American society as the Scottish contemporary philosopher and political economist, Adam Smith—who is most known for his influential work, An Inquiry into the Nature and Causes of the Wealth of Nations, By the early nineteenth century, other streams of economic theory emerged from various individuals who were also influenced by the ideas of Smith. Some of these individuals included David Ricardo, Karl Marx and later John Maynard Keynes and Milton Friedman—each of whom contributed their own ideas on economic activity. However, it was Smith’s ideas on capitalism and his laissez-faire approach to free markets that have transcended other economic theories and continue to impact American economic thought to this day.

Karl Marx, in the Capital, developed his critique of capitalism by analyzing its characteristics and its development throughout history. The critique contains Marx’s most developed economic analysis and philosophical insight. Although it was written in 1850s, its values still serve an important purpose in the globalized world and maintains extremely relevant in the twenty-first century.

By definition, Capitalism is an economic system controlled chiefly by individuals and private companies instead of by the government. In this system, individuals and companies own and direct most of the resources used to produce goods and services, including land and other natural resources labor, and "capital". "Capital" includes factories and equipment and sometimes the money used in businesses (Friedman, 5).

Marx points out that “the laborers life is to merely increase capital, and is allowed to live only in so far as the interest of the ruling class.” The more bourgeoisie exploited the proletariats for work, the wealthier the bourgeoisie became, thus reaping the benefits of the proletariats.

Ans. Adam Smith trusted that in Laissez Faire framework government does not meddle in the activity of the economy and Smith said that economy will accomplish the best useful for the best number however this is just conceivable if everybody takes after self - intrigue. Where Keynes' feelings for private enterprise were comparable as Adam Smith and Keynes said that legislature need to intercede with a specific end goal to leave the monetary droops.

Capitalism has been the subject of ethical criticism since it was first introduced into society. I defend the morality of capitalism because it gives people incentive to work, establishes a web of trust between them, satisfies their material well-being, and generates a wide spectrum of prosperity.

Capitalism started up as a system of investing and sharing money in order to increase the value of resources in the future. Capitalism was just an economic system, but then soon turned into a complex system of ethical practices. Harari defines capitalism as, “a set of teachings about how people should behave, educate their children and even think” (Harari 314). This economic system evolved along with the people that were endorsing it. Capitalism enables the rich to get richer, while the poor continue to get poorer. There are many benefits to capitalism, but there are downfalls as well, and these downfalls tend to be masked because of the rapid speed capitalists grow at. Harari first presents a definition for capitalism, and soon goes into great detail on why capitalism, while fast paced and unforgiving, is able to stand unwavered while other productions fail.

The definition of utopia is an ideally perfect place especially in its social, political, and moral aspects (dictionary.com). This paper will discuss the changes in capitalism since Marx’s critique in 1848. Marx’s fundamental critique remains correct today. Marx is still correct about his critique of capitalism because even though there have been changes made to capitalism to prevent some abuses, capitalism still produces inequality, reduces the family relationship, destroys small business, and enslaves.