SOCIALISM:

Socialism is a term applied to an economic system in which property is held in common and
not individually, and relationships are governed by a political hierarchy. Common ownership
doesn't mean decisions are made collectively, however. Instead, individuals in positions of
authority make decisions in the name of the collective group
Socialists argue that socialism would allow for wealth to be distributed based on how much
one contributes to society, as opposed to how much capital one holds.
Types of Socialism:
Socialism can be divided into the categories
Utopian socialism:
Socialism achieved by the moral persuasion of capitalists to surrender the means of
production peacefully to the people. It was advocated by Johann Fichte and Robert Owen
among others.
Revolutionary socialism or Communism:
The term revolutionary socialism refers to socialist tendencies that subscribe to the doctrine
that social revolution is necessary in order to affect structural changes to society. More
specifically, it is the view that revolution is a necessary precondition for a transition from
capitalism to socialism.
Evolutionary socialism or democratic Socialism:
Democratic socialism is a political ideology that advocates political democracy alongside
social ownership of the means of production, often with an emphasis
on democratic management of enterprises within a socialist economic system.
Implementation:
A primary goal of socialism is social equality and a distribution of Wealth based on ones
contribution to society and an economic arrangement that would serve the interests of
society as a whole.
Socialism as we know it today, most commonly refers to market socialism, which involves
individual market exchanges organized by collective planning.
Features of Socialism:
Social Ownership of means of production
Existence of public sector
Decisive role of Economic Planning
Production guided by Social Benefits
Abolition of exploitation of labor
Advantages:
i. Better salaries
ii.Stable Environment
iii.Eliminates poverty
iv.Better Products
v.Fulfills survival need
vi.Opportunity for citizens to explore non-economically-productive pursuits
Disadvantages:
i. Distorted price signals
ii.Suppression of economic democracy
iii.Slow Technological advancements
iv.Minimize self-management
v.Reduced incentives