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For it means that there is a functioning market in the exchange of private titles to the means of production. There can be no genuine private ownership of capital without a stock market: there can be no true socialism if such a market is allowed to exist.”
market socialism, also called liberal socialism, economic system representing a compromise between socialist planning and free enterprise, in which enterprises are publicly owned but production and consumption are guided by market forces rather than by government planning.
What are the characteristics of stock market socialism?
Stock Market Socialism. The government has no such check to its ability to direct resources. The government’s source of revenue is from taxes, not from serving the customer. Therefore, it is not subject to market forces. It invests money (and thereby direct resources) according to its own bureaucratic rules.
How would you implement socialism in the United States?
One way to implement socialism in the United States would be to copy many of the economic institutions found in the Nordic countries of Denmark, Finland, Sweden and Norway.
Is the stock market necessary for capitalism to exist?
Mises said, “A stock market is crucial to the existence of capitalism and private property. For it means that there is a functioning market in the exchange of private titles to the means of production. There can be no genuine private ownership of capital without a stock market: there can be no true socialism…
What was the stock market like under communism?
Under communism, ownership of land, factories, companies … belonged to the state or, as the leaders liked to put it, the people. There was no share of ownership to be bought and sold, and hence, no stock market. There was not even a market for meat, vegetables, clothing, machinery, equipment and capital goods.