Both capitalism and communism are an economical, social, and political system that is adopted by different countries. In these systems, decisions are particular and are made by the central power, which influences how the nation will formulate both political and social policies while at the same time putting economic plans into perspective.
What is Capitalism?
Capitalism refers to an economic, political, and social system in which the private sector controls all the instruments of wealth making and the factors of production. It this system, competition is an unending affair as different entities compete for the available resources so that they can maximize their wealth. The government does not intervene in the activities of the people but remains at a distance involving itself only when necessary.
What is communism?
Communism refers to an economic, political, or social theory that has a perspective that all factors of production are owned and controlled by the community. In this system of social functioning, all members of the society are required to contribute to the welfare of the community as a whole upon which one receives compensation concerning their abilities to participate. The state is the dominant player, as it owns all the resources while at the same time controlling all the factors of production.
Similarities Between Capitalism and Communism
- Similarities between Capitalism and Communism in “Origin”
Both capitalism and communism emerged to replace the existing feudalism and monarchical system that were prevalent during their time. Feudalism involved paying homage to a specific noble family upon which one would receive military protection while in the monarchical system the leadership of the country was hereditary and people had little role to play in their governments and the decision making about the progress of the country. It is also worth noting that both systems of wealth management can trace their roots in European countries.
- Similarities between Capitalism and Communism in “Religion”
In both social, political, and economic perspectives, religion was an important social aspect. However, nobody was forced to adhere to a particular religion which means that people had the freedom to follow any denomination they felt was serving their interests most professionally. Although both philosophies respected religion as a core practice for the welfare of the society, the method did not have significant influences on the way various things were being carried out in the state. Religion existed as another social aspect, and it was for the willing, which meant that it could not influence the decision-making process in the country.
- Similarities between Capitalism and Communism in “Leadership”
It is worth noting that the two philosophies were very democratic because democratically elected governments were overseeing both capitalism and communism philosophies. Therefore, people had a significant influence on their state and could direct their leadership to perform various tasks for them. Additionally, the administration of each set was responsible for making the decisions that all the other citizens were to follow. Despite the members of the community, having significant influence in the way the leadership conducted its affairs, arrangements were made strictly and professionally such that instructions flowed from top to bottom. The only difference in matters administration was that the government was highly involved in the communism philosophy as compared to the capitalist system.
- Similarities between Capitalism and Communism in “Political Stability”
Since the leadership of the countries managed by capitalism and communism had democratically elected government representatives, the two portrayed high levels of political stability within their states. Political competitiveness and hostility did not exist because all the people were friendly to their governments and the government played their role in ensuring that the lives of people were improved. One branch of government that facilitated political stability was the legislature. Both philosophies had large chambers that were mandated with the formulation of policies and frameworks that the country was to execute to achieve economic development. In both assemblies, the people elected all the members.
- Similarities between Capitalism and Communism in “Economic System”
Though different in their executions, both communism and capitalism relied heavily on command economy. All the economic decisions were made from a certain point upon which the instructions flow down to all the people in those commercial settings. I communism, there was a body that used to administer all the people carrying their duties so that it can determine what a person offered and their respective reward. On the other hand, capitalism’s command economy was only geared towards ensuring that ownership of the factors of production is legal and that no one can deny other people their rights to own properties. Besides, the government was the central command in ensuring that all the taxes are paid while ensuring that all rules and regulations adhere to the letter.
- Similarities between Capitalism and Communism in “Populist Rhetoric”
In both philosophies, there exist a class of wealthy people who have much wealth and power such that they control everything that is happening in the system of the economy, social, and political settings. All other people are employed by the populist society that controls a significant proportion of their governments and the entire economic process. The wealth and powerful ruling class use the rhetoric of ownership of properties to legitimize the philosophical system of the country. It is also worth noting that the government is a captive of the populist society and it introduces the marketing policies that favor the wealthy class.
Conclusion: Gist of the similarities between Capitalism and Communism
- Both philosophical systems played a considerable role in ensuring that the countries where they were adopted ran smoothly while at the same time providing that all the people got goods and services to sustain them.
- Communism was later discarded as it did not have the competitive aspect hence making the country to lag behind regarding development as compared to the nations, which had adopted the capitalist social system
- Currently, capitalism is the common philosophy of running a country, but different states have incorporated socialism and communism in their systems to ensure that every person can access goods and services.
- Both philosophies had a significant number of negatives and positives, and the country adopted either of the belief after a lengthy period of evaluation.
Author: Jecinta Morgan
Jecinta is an experienced writer who has been writing for more than three years and she has a degree in Finance and Accounting.