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Socialist economics, like its parent political theory socialism, is a term that contains a diversity of economic theories. These range from Keynesian economics, and post-Keynesian economic theories favored by many social democrats, to democratic state ownership of industry, Kibbutz style communal property ownership, and Cooperatives.In other instances, where a particular business may be privately owned, it may be largely or wholly controlled by the state, or trade unions.
The aims of implementing such ownership structures is to create economies that act in the direct interest of workers, members, or the general populace, rather than a capitalist class. Note that this is subject to the Economic Calculation Debate, an ongoing debate between socialist and free market / Austrian school economists. Here the Austrian school economists have argued that the denial of private property ownership - as some models of socialist economics promote - would inevitably create worse economic conditions for the general populace than those that would be found in market economies. Socialists, of course, refute this claim and argue that an economy based on private property inevitably benefits the wealthy few in the detriment of the poor and middle classes.
1 Distinctions with Marxist and Green economics
Note, however, that Socialist economics does not necessarily mean Marxist economics or green economics. Cooperatives or communes have existed, and competed, in countries with market like the United KingdomThe United Kingdom of Great Britain and Northern Ireland is a state in Western Europe, usually known simply as the United Kingdom the UK Britain or less accurately as Great Britain . The UK was formed by a series of Acts of Union which united the formerly and IsraelThis article discusses the State of Israel. For other meanings of Israel see Israel (disambiguation). The State of Israel Medinat Yisrael in Hebrew, Daulat Israil in Arabic) is a country in the Middle East on the eastern edge of the Mediterranean Sea.. Similarly, many western economies have had state controlled businesses compete against private companies, or state monopolies in some critical areas of otherwise market economies - for example TelstraTelstra Corporation is an Australian telecommunications company, holding a superdominant position in landline telephone services and with a large share of mobile telecommunications, domestic consumer (including dial-up access and " broadband" cable modem, in AustraliaAustralia is the sixth-largest country in the world (geographically), the only one to occupy an entire continent, and the largest in the region of Australasia. Australia includes the island of Tasmania, which is an Australian State. Its neighbouring count.
Similarly, while green economics can be a form of socialist economics, it is not necessarily so. Economic bodies with socialistic ownership structures are not inherrantly more environmentally concerned than traditional businessesHistorically, the term business referred to activities or interests. By extension the word became (as recently as the 18th century) synonymous with an individual commercial enterprise. It has also taken on the more general meaning of a nexus of commercial.
1 See Also:
- Economic Calculation Debate
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