Planned Market And Mixed Market Economies

Hodson and Sullivan describe Marxist thinking on the relationship between capitalists and labor as, “labor is to be hired, used up, and discarded” (2001, p. 8); a description strikingly similar to Ehrenreich’s experiences and observations.

The government also makes all main economic choices. Places like China have a command economy, and command economies grant hardly any freedom to people, as the government is very harsh on society. Everything is controlled by a central power. Although command economies are strict, they adapt to change well, thus that being a major advantage. There is very little uncertainty with where to work because their lives are already basically planned out. In a command economy it is very easy to make your own business, as in a market economy it could end up taking weeks, months, or even years just to get started. Also, in a command economy since it is so strict families are limited to have maybe one child, and soon the family will depend on that child when they are no longer able to work – making the child responsible for a lot of things in the family. Command economies are not poor, because there is always production and its very rare that a worker would be able to call

In regards to the labour-capital relation within a traditional capitalist corporation Marx & Engels (2007) refer to the dialectic between the capitalists (or bourgeoisie) who own the property and the means of production and the laborers (or proletariat) who own no property and are obligated to sell their labour to the bourgeoisie to gain substance. For Marx & Engels, this labour market is inherently fraught with tension, since the interests of the capitalist and labourers are diametrically opposed, and the balance of power between capitalists and labourers tips further in the favour of the capitalists. Because workers have nothing to sell but their labour, the bourgeoisie are able to exploit them by paying them less than the true value created by their labour. Furthermore, because of the unequal positions of capitalist and labourer, labourers must work for someone else- they must do work imposed on them as a means of satisfying the needs of others. As a result, labourers inevitably experience alienation which Marx’s Economic and Philosophic Manuscripts (1844) summarizes as the separation of individuals from the objects they create, which in turn results in one’s separation from other people, from oneself, and ultimately from one’s human nature.

When discussing the formation of the modern bourgeois and proletariat, Marx claims industrial capitalism has purposefully destroyed previous social paradigms. The current bourgeois is not a continuation of millennia of advancement, but a concentrated shift to “naked, shameless, direct, brutal exploitation” (222). The language used is remarkably violent: “the bourgeoisie…has pitilessly torn asunder…drowned in the icy water of egotistical calculation” (222). Capitalism is inherently predatory, as it must “constantly revolution[ize]…the whole relations of society” (222). The bourgeoisie can and consistently have destroyed civilizations. Therefore, communism should not be criticized as abnormal for attempting to bring about an end to this cycle of destruction. Marx uses religious language when describing professions, “stripped of [their] halo” (222) by “paid wage labour” (222): they were “hitherto honoured and looked up to with reverent awe” (222). The idolization of these groups suggests capitalism has gone against the sanctity of labor by only making it worth market price. That communism hopes to return value to “every occupation” (222) means that it is helping restore their quasi-religious status. The following

Additionally, Centrally Planned Economies usually involve 2 types of government: Socialism which is a social and political philosophy based on the belief that democratic means should be used to distribute wealth evenly throughout a

Three different types of economic systems used by governments are Communism, Capitalism, and Socialism. Each type of system is unique in different ways. Each has distinct aspects that make it what it is. In communism, the government runs everything and there are no social classes. The government in capitalism doesn’t interfere with any businesses and lets the citizens own and operate them. Socialism is basically a mixture of the two economic systems. The government runs certain businesses, but citizens run the rest. The three economic systems are different in the way they run things and regulate things.

Making products in a capitalist system puts many people in a position that are repetitive and laborers end up going through the motions. They have one specialized job in producing the whole product. The labor does not give input into the purpose of design, distribution, and marketing of the product. According to his essay “ Alienated Labor,” Marx tells us the things we go through in a work under the capitalist society:

Then there is the Traditional economy, which they do things the way they have always been done. Another one is the Command

In our society today, there are many distinct types of economies. The three leading economies are Market economies, Traditional Economies, and Command Economies. Each Economy is very diverse and unique from the next. An example of a market economy is in the US, and in a market economy there is a great deal of individual freedom and less government involvement. A market economy is based on Capitalism. A Traditional economy is a small group of people who are their own government. Not many societies today use a traditional economy. In a command economy the government controls all economic decisions. Examples of command economies are communist countries such as China and North Korea. Each type of economy has its own advantages and disadvantages as well as its differences about resources and government involvement.

An economy is the production, distribution, and consumption of goods and services; the way an economy is organized is called an economic system. There are three types of economic systems: planned, market, and mixed. A planned economy is an economic system where the government decides what should be produced, how much it should cost, and how much people should be paid. A market economy is a type of economic system where there is competition and prices are set by supply and demand. There is little government involvement. A mixed economic system is a mix of these two. Canada is more of a planned economic system, leaning towards mixed, and the United States of America (USA) is a market/mixed economic system. Many people believe that the economies of the two countries should stay separate, but Canada and the USA would greatly benefit by banding together and forming a market economy.

Economic systems are organized way in which a state or nation allocates its resources and apportions goods and services in the national community. An economic system is slackly defined as country’s plan for its services, goods produced, and the exact way in which its economic plan is carried out. There are three types of economic systems exist, they are command economy, market economy, and mixed economy. Command economy is also sometimes called planned economy. The expectations of this type of economy is that all major decisions that related to the construction or production, distribution, commodity and service prices are all made by the government. However, in market economy, national and state governments play a

     In capitalism the worker is a commodity in so as to produce the products needed for the market. Each individual does what they are best at producing and if everyone does this then each person’s needs are taken care of. When each person is working they are paid money for their labor. With this money they can buy goods, which can fulfill their own desires, and so the trading of money for goods can take place in a capitalist market driving the economy forward (Smith 158).

A transitional economy is an economy which has previously had a centrally planned economic system of resource allocation and is now allowing market forces, such as demand, supply, price and free enterprise to operate in at least parts of the economy. A centrally planned economy, that is also called command economy, is an economic system in where the country’s government operates production facilities. Free market economy is an economic system where prices and wages are set by unrestricted competition between businesses, without government regulation or fear of monopolies. Countries like: Poland, Vietnam, Albania, Czech Republic, China and most of CIS countries that used to be a part of communism area can be taken as an example of countries that have moved from centrally planned economy to a more market driven economy.

     If the workers will not work there is no capital to invest in anything. Once the workers are fed up with their situations and realize there is a need to get together for a revolution and change of labor, the bourgeoisie will have lost everything it owns; and that will lead to the end of a class based society. “In Communist society, accumulated labor is but means to widen, to enrich, to promote the existence of the laborer” (68). The accumulated labor in Communism is not just to benefit one and only one person; but it is to benefit the workers as well as the employer. Everyone will be rewarded according to how hard they work and people will have the equal chance of moving up the social ladder. “In the place of the old bourgeoisie society, with its classes and class antagonisms, we shall have an association, in which the free development of each is the condition for the free development of all” (76). Workers will have independence and freedom of labor; and each person is seen as an individual that is part of a bigger and greater society.

There are many economic system in the study of economy .Economy system is the structure of production, distribution of economic input and output and consumption of goods and services in an economy. There are 3 types of economic system which are planned economy system (command economy), mixed economy system and free market system (market economy). Therefore , different countries have different economy system.