“Socialism”, “Capitalism”, “Markets”, and “Mixed Economies”…in two brief paragraphs…

Natural resources and human effort are the two elements that all economic activities are derived from and are therefore the two most important building blocks of all economies. From those two elements we derive intellectual property, technology, and markets. Unfortunately many modern economic theories have it backwards, thinking that markets “create” natural resources and human labor, when the reality is that markets are created by humans harnessing natural resources to create products and technologies which allow “markets” to exist.

Individual initiative should be rewarded and communal responsibilities should be met. If either of those elements is suppressed it will lead to economic instability. This is why the most stable economies tend to be “mixed economies” that combine elements of capitalism and socialism in an effort to create fair, just, stable, secure, practical, sustainable, realistic, equitable, and ethical economic systems rather than economic systems that are so ideologically pure as to become illogical and/or immoral in their very systemic structure to the point of being economically self-destructive.

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