The Concepts Of Nature, Dynamics And Efficiency Of The Soviet Type Planned Econo

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Term Paper Title	The Concepts Of Nature, Dynamics And Efficiency Of The Soviet Type Planned Econo
# of Words	1132
# of Pages (250 words per page double spaced)	4.53

The concepts of nature, dynamics and efficiency of the Soviet type planned economy of communism and the western types of socialism and capitalism differ greatly. Marx believed there were five stages a society would go through:  basic primitive communism, slavery, feudalism, capitalism, and finally communism.  Viewing the world as being based on economy.  Due to the increase in surplus and class cleavage the society's essence would change and make progress.  This would have the effects of eliminating the evils of capitalism, mainly the false appearance of prices, being the reflections of the value of labor and man feeling alienated from all that is him-himself, his work, his product, his fellow man, and life in general.  He found the other previous systems to be inefficient due to the anarchy of the market in capitalism for example, high unemployment when the system of mass production and the forces of production (technology) replace the worker.  Marx viewed the economy to be full of constant change and tensions between the forces of production and the relations of production.  His theory of thesis, negation, anti-thesis, negation of negation, and finally synthesis of the first and second as the basic evolution of life.  Marxists thought true freedom would be brought out in communist economic systems.  Of course, Lenin and Stalin distorted Marxism and repression, misallocation of the surplus to the government, instead of capitalist firms was evident.  Marx viewed capitalism as exploitation.
     Pareto virtually states that considering in utility, derived from what people are willing to pay and what people actually pay, efficiency will emerge.  Yet this must be based on a society of free choice, where individual desires and wants determine the allocation of goods and services; hence, not creating a surplus or an arbitrary price.
     Keynsian economics was adopted mostly after World War II.  Even capitalist society's found it to be necessary for the government to intervene more in the economy.  This is more typical of Western Europe.  Practices such as wage restraint, currency devaluation, and the deflation of the economy were instituted according to various historical and physical make-ups of different countries.  While these practices are still used, with linkages to each other's currencies and cheaper labor in up-coming  Asian markets, many of these practices have been undermined.  Yet  in Eastern Europe, these practices of efficiency could not be as implem...

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