Imagine that the world is undergoing radical change. Cities are growing rapidly, two to five or even ten times bigger than before. Horses were replaced by cars. Mail delivery is being replaced by telephones, and factories that used to make one product per day can now produce 20 products per hour.
However, you still live in the small house with two other families above you, there are three more families and three different families under you.
Capitalism does envision a world that continues to improve the lives of all working people. So, how can such a beautiful vision turn into a condition where workers have to work 15 hours per day and still live in conditions of extreme poverty?
In the 19th century European countries developed rapidly. This era is called The Industrial Revolution, however, was behind the splendor of these cities and their very rapid development. Economic experts realize that there are problems with the Capitalism system. A system that is supposed to bring prosperity to all levels of society actually adds to the suffering and poverty of the workers.
The solution? Socialism. In contrast to capitalism, Socialism believes that it is the government that has the right to allocate the resources and wealth of a country. Socialism is a critique of capitalism. One of the criticisms of Socialism to Capitalism is the system it makes the rich richer and the poor poorer. Because of criticism This sharp socialism is synonymous with the term Left Wing because it wants to change the capitalist system.
Louis Blanc, an economist, says that socialism is an economic system where everyone gets a job and everyone is paid the same salary as their job. Blanc feels that the government must be able to open businesses to create jobs.
Apart from Blanc, Robert Owen, a wealthy businessman also said that capitalism is a cruel system and he suggested that companies be replaced with cooperatives.
The German thinker Simonde believed that capitalism would pay off suffering and unemployment on a large scale, and there were more socialist thinkers who wanted it change the Capitalism system.
The main assumption of socialism is that there are two classes in society, namely the bourgeoisie and the proletariat. The bourgeoisie are the people who have capital and the means of production, while the proletariat are those who do not have capital and means of production, but in order to survive, then run capital and the means of production for wages.
Bourgeoisie have a desire to be rich, so they tend to oppress their workers by giving small wages so that the products made can be cheaper. In addition, the profits or profits derived from sales will go to the pocket of the bourgeoisie. If the workers protest for a higher salary or a better life, the bourgeoisie can fire them and change positions with someone else. Indeed, many socialist thinkers are against this.
Apart from Socialism Popularized by Karl Marx, according to Marx, socialism is not just a system, but a process to achieve a more extreme system, namely Communism. Although Communism and Socialism both stand on the left wing, not all Socialists are the same as Communists. In fact, many followers of Socialism are against Communism.
In socialism private property is replaced by common ownership of power politics and economy will belong to the state, high taxes will be imposed and companies will be owned controlled by the state.
However, socialism still has elements of capitalism in which individuals have their own interests and must be paid wages to work. State concept and
money also exists in socialism.
Meanwhile, in Communism, the state, class differences, private ownership, even money will be lost. Humans will live side by side in bonds
brotherhood and mankind will only work to produce goods that are needed, not to earn wages.
Marx's ideas proved accepted by the masses, Marx inspired figures like Lenin and Stalin to carry out a revolution in Russia and establish the Soviet Socialist Republic or the Soviet Union.
The enmity between the systems of Socialism and Capitalism led to a cold war between the Eastern Bloc and the Western Bloc. When the Western bloc won the cold war, the ideas of Socialism declined, countries such as East Germany, Poland, Hungary, and others. started to abandon these ideas. Socialism and holding ideas such as free markets and capitalism.
In the book The End of History, the author named Francis Fukuyama says that the combination of the ideas of Liberalism, Capitalism and Democracy has defeated Communism on the global stage. Then does that mean socialism is extinct? Not!
Socialism still exists in a more democratic and modern form, where the government plays a role in improving people's welfare through social programs and market regulation. For example in Scandinavian countries where health and education services are provided free of charge but the value of taxes that must be paid is very high.
It can be said that the policies surrounding public transport and subsidies for basic food and fuel oil originated from the idea of socialism. In essence, if the results of a policy can be enjoyed in general, then costs must also be borne in general.
While the ideas of Marx and other radical Socialists still exist today, countries that are still loyal to this ideology have lost power, both politically and in terms of popularity.