What?: An economic system where the government sets prices and controls the means of production. (All economic decisions are made by the government)
Where?: Pure Communism existed in China and Cuba during the Cold War (1960’s-1980’s). Today China uses elements (parts) of communism as its economic system.
When?: Concieved in 1848, became a political reality in 1917.
Who?: Karl Marx famous for his book The Communist Manifesto is given credit as the founder of communism.
How?: A command economy meaning that prices are set by the government. Workers are told what to make and what to buy by the government
Why?: To settle the historic class struggle between rich and poor.
Positives: A "classless society" where alll people are supposedly equally.
Negatives: There is little incentive for the individualto work hard and succeed.
Related Terms: Russian Revolution, Classless society, dictatorship of the workers