The textbook definition of socialism is “The collective ownership of the major means of production.” The textbook definition of Capitalism is “The private ownership of all means of production.” As time passses for societies it is imperative to answer two important questions about which economic means is more suited to their circumstances-socialism or capitalism.
The first question is about education. Is the “Society educated?” Is the populace equipped to perform a variety of employments or businesses and in doing such provide for themselves? The second question is income. “Does this educational level produce enough income?” Providing for themselves, others closely connected to them and also providing some tax revenue for collective needs is a significant consideration.
By considering the education and income standards a clearer understanding of the applicable economic means for a society becomes more apparent. The average household income for 3rd World countries is $9,733.00 while the average household income for the USA is $59,039.00. The percentage of 3rd World countries with a high school/high school equivalent education or better is 6% while the percentage of high school/high school equivalent educated in the USA is better than 85%.
The disparity of income and education is significant. However, can even this significance prove an argument for the selection of economic means necessary for a society’s production, distribution and consumption needs, wants and desires? The average cost of living in the USA is $49,416.00 while the average cost of living in a 3rd World country is $17,295.00. The cost of living in 3rd World countries can vary from 35%-47% of the USA cost of living. However, needless to say while life may be sustained at the lower cost of living the “Quality of life,” is in question.
3rd World countries are thereby, not educated well enough to provide for themselves and are true examples of societies that might need collective control for production. However, socialism can very easily fall into communism which is the collective control of all production, distribution, exchange and consumption. The question remains, “How does or does a society grow out of socialism and into the individual worth component of capitalism? This is not the focus of this article but clearly with the socialism choice we have seen in Nazi Germany, Fascist Italy, Communist China, Uruguay and now Venezuela how unchecked by the populace, society is irreparably harmed.
Saying this callously the USA does not collectively suffer from the deficiencies aforementioned and present in most 3rd World countries, which are viable candidates for socialism. However, the USA does have a wealth distribution issue. The richest 1% own 90% of the USA wealth which in essence, wealth in a society equates to power. This obviously gives rise to elements in the 90% seeking greater power by demanding more from the wealthy.
Finally, why should the USA cast away its capitalism system when the only real question is “power.” Why cannot the wealthy be subject to a type of “Eminent Domain Action,” or “Excise Tax ” applicable only when a unique or unanticipated emergency is declared such as in areas with special health, natural disasters, education and employment needs. The wealthy would co-participate as their wealth percentage bears with the country’s total wealth. This protects the wealthy from dictatorial arbitrary seizure, provides fairly for those in need and still supports individual motivation for success.
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*In this article some quoted data may very and any opinions given are expressly those of the writer and not necessarily those of Acts Ministry, Inc. its subdivisions, affiliates, subordinates or ministers.
