cooperatives

Points of similarity between capitalism and cooperation 1.      Like Capitalism, cooperation also accepts the rights of private poverty and the    rights of contract. 2.      Cooperatives also use capital to carry on the business activities and pay interest for its use, as the capitalistic organizations do. 3.      Like capitalistic enterprises, cooperatives also employ the managers, and compensate them on the basis of quality of the services they render. 4.      Cooperatives also depend upon business efficiency for their success just as capitalistic enterprises do. 5.      Cooperatives also lay emphasis on profit.   However, earning of profit is not the primary aim of cooperatives. 6.      Both capitalists and cooperators generally oppose the encroachment of government interference. Dissimilarities between capitalism and cooperation ...

Socialism Concept             Socialism is an economic system has emerged to overcome the drawbacks found in capitalism. Socialist system established first in erstwhile Russia after the Bolshevik Revolution in 1917. Karl Marx and Engels visualized the socialist system in which there would not be private means of production. This system emphasizes on maximising the social benefits rather than private benefits.               In the words of H.D Dickinson ‘Socialism is an economic organisation of society in which the material means of production are owned by the whole community and utilised according to a general economic plan. All members being entitled to benefit from the results of such socialized planned production of the basis of equal rights.’             Socialism is a socio-economic system in which all t...

Capitalism Meaning             Capitalism is an economic system which given top priority to capital, market economy and personal economic gains.   The whole system centres around capital. The rich people find greater scope to multiply their wealth. The people of small means suffer due to non-availability of capital coupled with grim opportunities.             Capitalism is a system of economic organisation in which business and industries are organised by the private people to earn more profit with a minimum of government interference. Salient features of capitalism Personal economic gains are the primary motives. Economic gains drive the people to undertake business activities. Means of production (land, labour, capital and organisation) are owned and controlled by the private people.   As an owner of the concern, he has the libe...

Raiffeisen’s Model (Rural Cooperatives)           Fredrick Winslow Raiffeisen (1818-1888) was born in Harm, the place near Sigeskg river in 1818. After his early education at home, he served in military. He had a short military carrier .Due to bad dye sight, he retired from the service. After retirement, he entered in public service. He served as a burgomaster   of Weyerbusch in 1848, Flammersfield in 1848, Heddersdort in 1854.           He had deep sympathy for poor people. He himself had seen poverty and the misery of the rural poor. Therefore, he wanted to make them happier and more comfortable.   He strongly believed the self help will lift the poor out of poverty.                  He developed voluntary association of poor people to improve their conditions. He was the opinion that self help and mutual aid...

Rochdale Model Rochdale was a woollen and cotton milling town in Lancashire hills, England. In Rochdale all the evils of industrialisation were rampant. During 1840, the mills were paying low wages, strikes and lockouts were frequent, hours of work were long, the housing conditions of the workers very poor, rents were very high, there was much unemployment, the trade system was deplorable – they supplied adulterated goods and charged high price. Hence, this period was called as ‘the hungry forties’ by the historians.   Several efforts were taken by several persons including the government to save the workers. The pioneers started their way to save the workers from the different kinds of exploitation in 1843.   It was Charles Howarth, one of the leading and outstanding of all the pioneers, who persuaded to choose the cooperative solution to solve the problems. The cooperative store was the idea suggested and implemented by the pioneers.   The societies started by th...

Charles Fourier (Phalansters Scheme) Charles Fourier was born in 1772 at Besancon in France. He was an industrial idealist and socialist co-operator.   He was the son of merchant. He himself was a businessman but had an unsuccessful career. As a socialist, he was very much worried about the worst social economic conditions of the workers in particular and the poor people of the France in general.   The environment was not conducive for human development. The industrial policies, level of payments, fines and punishments into the state where people could not find opportunities for growth.   He was the opinion that competition, profit motive and exploitation are the breeding centres for all sorts of problems. This could be alleviated / removed only through organising people into associations, work on collectively to address the social and economic problems. Phalanster scheme Charles Fourier conceived his unique scheme of establishing communistic colonies called as...