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Market economy vs Command Economy

of Russian history the civilian population constantly suffered from a low standard of living and shortages of consumer goods. More importantly, the emphasis on central planning that was apparent in the economy was manifest in other aspects of life in a totalitarian and repressive government. Therefore, under state socialism Soviet citizens suffered from material shortages and political repression. These shortcomings of the system outweigh any industrial and manufacturing advances that the system generated. USA, The market economy:In contrast to centralization, state ownership of the means of production, and centrally planned production and distribution, capitalism relies on private ownership and individual initiative in the marketplace for production and distribution. In general terms, capitalism s advocates argue that individuals pursue their own best interests, in economic terms efficiency, and that this mutual pursuit of individual interest (the free market) encourages innovation and improvement. In the USSR production and distribution was driven from the centre, under capitalism production and distribution is seen as the aggregate outcome of individual autonomy and activity.In a similar fashion, free market societies are generally liberal democracies. The analogy is presented that the free market in economics is equivalent to the free market of ideas and policies that is liberal democracy. Underlying this approach to economic (and political) organization is the assertion that all individuals possess certain equal rights to vote, to work, to move and that this creates a level playing field in the free market and electoral politics.A centralized economy attempts to design and enforce an equitable system of distribution while capitalism asserts that equitable distribution will ensue if all individuals compete on a level playing field. Unfortunately, as was the case with a centralized economy, reliance on the free market results...

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