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Unit 4 Industrial Revolution, Russian Revolution, and Chinese Revolution
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Page 1: Industrial Revolution, Russian Revolution, and Chinese ...westlakepsych.weebly.com/uploads/2/6/3/0/26306905/... · Industrial Revolution and Capitalism Why do you think that is so?

Unit 4Industrial Revolution, Russian Revolution, and Chinese

Revolution

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Day 3: Industrial Revolution

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Starter: March 16th and 19th

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Capitalism, Socialism, and Communism

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Capitalism“It is not from the benevolence of the

butcher, the brewer, or the baker that we expect our dinner, but from their regard to

their own interest.” - Smith

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Capitalism► Capitalism – an economic

system based on private ownership and on the investment of money in business ventures in order to make a profit.

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Socialism► Socialism – an economic

system in which the factors of production are owned by the public and operate for the welfare of all.

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Communism► Communism – an economic

system in which all means of production are owned by the people, private property does not exist, and all goods and services are shared equally.

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Capitalism► Adam Smith▪University professor

in Scotland▪Supported Capitalism▪Wrote “The Wealth of Nations”

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Capitalism► Ideas:

▪Businesses compete with each other for the consumer’s money.▪Each business tries to provide goods and services that are better and less expensive than their competition.

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Capitalism▪A market economy aims to produce the best goods at the lowest prices.►Supply and Demand

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Capitalism▪Government should not interfere in the economy.►Laissez faire

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Capitalism▪Laissez faire – letting owners of industry and business set working conditions without interference►No government regulations,

such as minimum wage laws

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What relationship did the Industrial Revolution

and Capitalism have?

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Capitalism► Positive Effects:▪Competition led to progress

► Negative Effects:▪Unequal distribution of wealth led to social unrest

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Socialism

“From each according to his/her ability, to each according to

his/her work."

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Socialism► Government actively

regulates the economy▪Controls major industries and resources.

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Communism“The worker of the world has

nothing to lose, but their chains, workers of the world unite.” - Marx

“From each according to his/her ability, to each according to his/her need."

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Communism► Karl Marx▪German journalist▪Radical Socialist▪Wrote “The Communist Manifesto”

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Communism► Friedrich Engels

▪Son of a wealthy German textile entrepreneur ▪Radical Socialist▪Co-Wrote “The Communist Manifesto” and “Das Capital”

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Communism► In many ways, Communism

was a reaction to the Industrial Revolution and Capitalism

►Why do you think that is so? Think, Pair, Share.

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Communism► The Industrial Revolution

intensified class struggle (rich vs. poor)▪“Haves” take advantage of “Have-Nots” (proletariat)

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Communism▪Workers are exploited by employers▪The labor of workers profits employers

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Communism► Marx and Engels called for workers of the

world to unite and overthrow the rule of the rich.▪Wealth would be redistributed▪Classes and private property would cease to exist

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What is the difference between Communism and Socialism?

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