Why Socialism

Posted on October 1, 2012 by


Socialism is a form of capitalism. While modern capitalism uses a monetary system to measure the value of trades between two or more entities, the antithesis of capitalism is communism, which is not based upon trade but upon need. Consequently, true communism does not have money because there is no necessity to evaluate the value of any trade. Socialism, on the other hand, is a regulated form of capitalism. In fact, any regulation that is super-imposed upon a capital system is fundamentally socialist in nature.

The reality of capitalism is – Capitalism does not provide a sufficient number of jobs to care for every person that lives within the capital system. In addition, except in the situation of micro-businesses, the business owner does not actually build the business. The employees do the work that is actually growing the company. Nor does the so-called owner pay the costs involved with company growth out of his own paycheck. The owner uses profits produced by the workers to pay for improvements. Consequently, improvements are actually paid for with the share of the profits that should belong to the employees.

Today in America, deregulation has allowed wealth produced by the American workforce to coalesce around a very small group of individuals. This 1% is effectively being subsidized by the American workforce. Socialism does not actually subsidize the masses with the wealth of the successful. Socialism imposes fiduciary responsibilities upon those who have access to the profits that the workforce produced. Socialism ensures that the workforce receives an equitable portion of the profits that their efforts produced. And, it is the efforts of workforce that subsidies those who do not have work opportunities.