Study the weaknesses and disadvantages of producing goods and services under the capitalist system of production. What are the advantages that a socialist system can have over a society based on capitalism ?
1. Weaknesses and disadvantages of producing goods under the capitalist system :
(i) While producing the goods the capitalist producer does not care for the quality of goods and as well demand of the public. He is concerned only with his own profit.
(ii) The capitalist does not have the feeling of loyalty and faithfulness to his country and countrymen. So, the does not care what the country needs, but his own profit.
(iii) The capitalist remains honest to the consumer in the quality of goods only so long as he captures the market. Thereafter he starts to produce the inferior quality goods and restores to malpractices, black market, etc.
2. Weakness and disadvantages in services under the capitalist system :
(i) The capitalist tries to exploit the workers in every way, he extracts more and more work from them while paying them the less wages.
(ii) He may employ a worker and labourer whenever he likes and throws him out of job if he does not like him or does not need his services.
(iii) He prefers to employ the innocent children and women in his factory because their labour proves cheaper. In this way he does not hesitate in ruining the health of the children and women.
(iv) Many times the capitalists do not introduce any reforms in their factories due to which some times the serious accidents occur.
3. Advantages that a socialist system can have over a society based on capitalism :
Under the socialist system all the factories, industries and means of production are the state property while in capitalist system these all belong to the private owners. The socialist system can have the following advantages over the capital system.
(i) Wealth is not concentrated in few hands but whole society gets the benefits of the profits by equal distribution of wealth.
(ii) The workers and labourers are not forced to put in more work for less wages. Thus, there is no exploitation of the workers.
(iii) In the socialist system on society the goods are produced according to-the need of the society and not for the sake of profit only.
(iv) Socialism promises the fulfilment of the minimum necessities of life like food, cloth and shelter to all the people.
(v) In the capitalits system the stress is laid to produce luxury goods while in the socialist system such goods are produced as are necessary for daily use which promote better life of all the sections of society.
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(V. Imp.)
