There are many arguments for and against capitalism and communism. Most prevalent argument for capitalism is that free market economic rights and freedom help an economy grow and lift people out of poverty. The most prevalent argument for communism is that it is based on the quality and social justice. I could go on all day listing the atrocities committed as a result of both communism and capitalism. However, my argument will be simply based on which system is best for properly distributing resources. First, I’ll give you a little background about myself. I served in United States Army for three years and am a small business owner who designs websites. I’ve also worked for years in the fast food industry.
Let’s say you wanted to start a coffee shop that sells tuna flavored coffee. After going through all the work of setting up shop you realize that nobody is coming in. Maybe one or two curious people or weirdos, but for the most part they’re coffee shop is a flop. You wait it out for couple months, but then you realize that it is a exercise in futility. Although the reason you closed was because nobody wanted your product, the underlying reason was that it was not profitable. If you’re two or three customers that came in a month were enough to turn a profit you would still be in business. This is how capitalism works. The ability to turn a profit is a way to gauge a wide range of things. Profitability can gauge whether or not the person who is in business should be in business. Somebody with great business sense will succeed and become profitable before anyone without any business sense even if they’re selling the same product. Profitability also gauges the demand and quality of the product is being sold or the service is being provided.
One of the best examples of communism is the United States military. When enlisted you’re provided for all the basic necessities, and are fed. Not for this example of why communism is an inefficient system will use the military rations called “meals ready to eat”. The MRE rations come in boxes of 12. Each pouch is a different menu item. You might have beef stew, chili, and chicken fajitas. There are many other choices as well. However, there is one meal in particular that very few soldiers will ever eat. This meal is the cheese and veggie omelet. Although most of the MRE meals can be cold if you’re on the run, the cheese and veggie omelet is barely edible when heated up. Whenever the ration boxes are taken now to feed a unit, it is guaranteed that you will find a cheese and veggie omelet meal in every box left over. In every unit across the country there are supply rooms stacked with veggie omelet meals. Here’s where the problem lies.
Let’s say the United States Army was a country. The company that creates the military rations would be like a foreign country trading with the Army. They have no problem selling the Army junk goods in order to make a profit. However, since there is no profit structure built in to see which meals are desired by the soldiers, you have a large surplus of unwanted meals. Not only that, it takes decades for a new item to be taken out of distribution. This mirrors the supply issues that the Soviet Union faced during communist rule. There were times when there are massive surpluses of food items that would perish on the shelves. There are other times when there were massive food shortages. It was this inefficiency that weighed down the Russian economy. Without a profit structure in place there was no way to find out which products were in demand and which products were not.
Just from the standpoint of resource distribution, capitalism is far superior to communism. Although there may be a lot of unfairness and a lot of disproportionate wealth, it is better to have wealth for trickle down than to have a system where large swings in supply availability can cause either starvation or large-scale food spoiling. If an apple sits on the shelf for weeks as it rots away, all the work that went into bringing that Apple to market would be a complete waste of human resources. We try to create utopias, but we don’t realize is that utopia is impossible. All we can hope for is the best society we can create. In striving for perfection she meant he has a history of destroying vast amount of human potential. It is my opinion that capitalism is a horrible system, but that it is also the best system we have.