A Simplistic Overview of the Economical Philosophical Paradigm of ''Usa Capitalism vs Ussr Communism''

Topics: World War II, Soviet Union, United States Pages: 6 (1672 words) Published: January 20, 2013
Communist cold hearted steel against the productive slavery of capitalism  
Industry fills the landscapes on the donua plateu - Russia. The giant furnaces are giving off  fierce sparks as the engineers are unloading the new equipment from the endless row of trucks parked outside, bringing with them the key in economic growth - Techonology, renewal and effiency. In the communism world of post worldwar 2 the future looked promising. The foundations that Stalin had made in the first quarter of the century for Sovjet Union's heavy industry was resetting over from war to peace time economy. However it is undeniable that it was still a country who didn't want to abandon their guns and produce the butter, hawks of the Sovjet cabinet had their claws deeply in the matter of how the general affairs of the state were to be had.  But even one as a paranoid as Stalin understood that war in the year of 1945 would lead to nothing and was content with the new territories, aswell there were dire repairs needed. The oil fields who had been in German grasp had felt heavy destruction. Not to mention Sovjets severe state of agriculture. Millions of cattle had been slaughtered during the war, and hundreds of square miles of arable land destroyed - mostly by the Sovjets themselves. The figures laid infront of the Sovjet financial cabinet couldn't have been more depressing.  A quarter of Sovjet's capital had been destroyed, the economic output figures which once were upheld as a monument to Sovjet's growth were now all showing lower then prewar figures. However in 1946 the fourth fiveyearplan (1946-50) sprinted into action. Now the centralised planning system showed its key powers. The state's quick and efficient division of labour and capital til that what was needed for the nations economy showed remarkable in the positive figures. The system was perfect to handle these sorts of crisises.   No strikes were hindering renewing the production line - The working discipline was harsh, but effective.  And there was no shortage of capital aswell. A large part of the capital income in nazi germany was from the workers themselves. Through bonds, and (Nazi)party members paying membership expenses which then would directly go to the state. As in Goebbel's words ''The money we take from the workers will in the end benefit them''.  And that was a keypart in Sovjet union's access to capital, people could in reality not buy anything in a centralised economy which had its consumer goods in a large extent rationed so the money was saved up in banks (Of course owned by the Sovjet state) - which was then used to finance many of their large projects. Furthermore with the consolidation of the newly aquired satelite states - All tariff usage between the Sovjet states were now disolved. Which in the end were hugely benificial for Russia but meanwhile it also grew miscontent in the other Sovjet states which weren't benefiting much tradewise trough the Sovjet cooperation.  

It's rush hour at the stock exchange, speculators and financial sharks are on the prowl for the companies promising great returns on their investments. Its a jungle, where the strongest survive - Even if keynesianism has begun taking its hold over the United states, Laizess faire still is a dominant part in contrast to the Scandinavian model. World war 2 had smiled kindly to the United states - Financial wise of course... Not humanitarian per say. But it had helped immensely nontheless - The problem for many states in modern times is the problem to accumalte liquid assets and capital to lend, pay rents and inject stimulus packages into the economy.  

And in contrast to Sovjet where the consumers were in essence ''forced'' to have their savings in banks which then could be used by the state, the United states were in financial chackles called ''democracy''. But with the war, people had a...
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