Define socialism, and describe its major characteristics

Question

What will be an ideal response?

Answer 1

Socialism is an economic system characterized by public ownership of the means of

production, the pursuit of collective goals, and centralized decision making. "Ideal"

socialism has three distinctive features: (1) Public ownership of the means of

production—in a truly socialist economy, the means of production are owned and

controlled by a collectivity or the state, not by private individuals or corporations. (2)

Pursuit of collective goals—ideal socialism is based on the pursuit of collective goals,

rather than on personal profits. Equality in decision making replaces hierarchical

relationships (such as between owners and workers or political leaders and citizens).

Everyone shares in the goods and services of society, especially necessities such as

food, clothing, shelter, and medical care, based on need, not on ability to pay. (3)

Centralized decision making—another tenet of socialism is centralized decision making.

In theory, economic decisions are based on the needs of society? the government is

responsible for aiding the production and distribution of goods and services. Central

planners set wages and prices to ensure that the production process works. When

problems such as shortages and unemployment arise, they can be dealt with quickly

and effectively by the central government.