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THE RISE OF SOCIALIST THOUGHT
Sim chong yang 28177Patrick ling 27941
Tiu chee yang 28553 Lim Yung Foo 26741
Amy Hii 25884Yii Pei Fang 28696
THE HISTORICAL BACKGROUND OF
SOCIALISM
1. The industrial revolution shattered the security of the old agricultural-village-handicraft.
2. Political rights for wage earners did not exist, and unions were illegal.
3. John Stuart Mill believed that without mechanical inventions, they still live in drudgery and imprisonment situation.
4. This backdrop call for economic reform – the concept that the best government is the one that interferes least in the economy.
5. historians conclude that the rise of Marxian socialism was given additional force by the failure of earlier, more moderate socialists to persuade industrialists to join in humanitarian movements
Type of SocialismUtopian Dates from 1800 with Henri Comte de Saint-
Simon, Charles Fourier, and Robert Owen as key figures.
They developed their ideas at a time when the industrial workers were still weak.
Regarded competitive market as unjust and irrational.
Worked out concepts of perfect social arrangement.
Preached universal togetherness rather than struggle
Type of SocialismState Socialism Involves government ownership and
operation of all or specific sectors of the economy for purpose of achieving overall social objectives rather than profit.
The state socialist considered that state to be an impartial power that could be influenced to favor the working class if the vote were extended and the workers educated and organized.
Louis Blanc was the chief early proponent of state socialism.
Type of SocialismChristian Socialism Developed in England and Germany after
1848, with Charles Kingsley being its leading advocate in England.
The workers were offered the solace of religion to provide hope.
The bible was to form the manual of the government leader, the employer, and the workers.
Type of Socialism
Anarchism With Pierre – Joseph Proudhon (1809 –
1865), one of its earliest proponents. All forms of government are coercive and
should be abolished. Society order arise out of self – governing
groups through voluntary or associate effort.
Private property should be replaced by collective ownership of capital by cooperating groups.
Type of Socialism
Marxian Socialism Marxian, or “Scientific socialism,” is
based on a labor theory of value and a theory of exploitation of the wage earners by the capitalist.
Under the resulting socialism, private property in consumer goods is permitted, but the capital and land is publicly owned by the central government.
Type of SocialismCommunism According to Marx, communism is the stage of
society that eventually supersedes socialism. Socialism slogan is “from each according to his
ability to his ability to each according to his work” Under Communism, the slogan becomes “From
each according to his ability, to each according to his need.”
This presupposes a superabundance of goods relative to wants, the elimination of money payments base on work performed and a devotion to society as selfless as a person’s loyalty to his or her family.
Type of Socialism
Revisionism Advocated by Eduard Bernstein (1850 –
1932) in Germany. The Fabian socialists led by Sidney and
Beatrice webb (1859 – 1947; 1858 – 1943).
The government was to regulate monopolies, control working conditions in factories, take over public utilities and gradually extend its ownership of capital.
Type of SocialismSyndicalism Georges Sorel (1847 – 1922) promoted
and popularized this form of socialism in labor circles in the Latin countries of Europe.
Syndicalists were antiparliamentarian and antimilitarist.
Workers require one big union that will not play the bourgeois game of seeking social reform and the amelioration of conditions.
Type of Socialism
Guild Socialism G.D.H. Cole (1889 – 1959), a professor of
economics at Oxford University, was the major advocate of this type of socialism.
Accepted the state as a necessary institution for expression of the general interests of citizens as consumers.
The actual management of industries was to be entrusted to the employees, organized in their industrial guilds, rather than to the government.
Commonalities of Socialism
Repudiated the classicist notion of the harmony of interest.
The socialists all opposed the concept the laissez-faire.
Rejection of Says’s law of the market Denial the concept of humanity upon
which classical thought was erected. Advocate to collective action and public
ownership of enterprise to ameliorate condition of the masses.
Whom Did Socialist Benefit or Seek to Benefit?
Moderate socialist group : Utopian, Christian, Guild socialist Represent everybody’s interest, primary emphasis on
needs and interest on worker. Promotes reform legislation. Diverted workers from organizing unions and political
parties to promote own interest
Extreme socialist group : Marxist, anarchist, syndicalists Proclaimed class warfare against the rich. Sole aim : promote the interests of working class. Various trade union activity, parliamentary pressure,
threat of revolt helped win concession from capitalists.
How Was the Socialism Valid, Useful, or Correct in It’s Time?
Workers had legitimate grievances against laissez-faire capitalism.
In early 1800s, utopian socialism expressed the disturbed conscience of humanity.
Marxian socialism offered an theoretical dissection of contemporary society - exposed and exaggerated its alleged evils.
Socialist concentrate focus on poverty and recurring business depressions.
Socialism promotes factory acts, sanitary reform, cooperative associations, worker’s compensation laws, unions, pensions etc.
Which Tenets of Socialism Became Lasting Contribution?
Socialism developed the foundation of contemporary socialist economic thought, which emphasizes state ownership of the means of production together with national planning and coordination.
Several policy recommendations made by socialists are now institutionalized within capitalist nations; smoothed the rough edge of capitalism.
Socialist’s emphasis and analysis of the growth of monopoly power, the problem of income distribution, and the reality of business cycle; forced a reassessment of basic assumptions and accepted theories within economic profession.
Henri Comte de Saint-Simon (1760-1825)
An Utopian socialist. Industrial parliament should consists of three chambers:
1)Invention – composed of artists and engineers, designs public works.2) Review – composed of scientists, examine projects and control education.3) Execution – composed of industry leaders, carry out project
and control budget. Rejected classical economist’s fundamental assumptions. Insisted that a new ethic was required to restrain the antisocial
egotism of the rich and to prevent an anarchic uprising of the poor.
Led his followers to oppose the laws of inheritance and to urge the collective ownership of property.
His enthusiasm for large scale industry helped inspire big banks, railways, highways, the Suez Canal, huge industrial undertakings.
Says that France’s royal family and landowners harm the prosperity of the nation; no direct use to the major importance; charge on national taxation.
Arrested and tried for heresy for his expression of controversial ideas, but was acquitted; his idea had revolutionary implications:- Expressed that scientists, artists, and artisans should be
entrusted with administrative power.- Critics the administrator(courtiers, nobles, idle rich; from
prime minister to humblest clerk). Missed being a socialist in ONE aspect: He did not advocate
the appropriation of private property.
● An eccentric utopian socialist● Slowly acquired a large and devoted following late
in life and posthumously● Critic of capitalism● Fourier dislike large-scale production,
merchanization and centralization● Fourier solution to social problems – remove the
artificial barriers to the harmonious interplay of the twelve passions
-Five senses -Four group passions(friendship, love , family
feeling and ambition) -Three distributive passions(planning , change
and unity)
● Fourier advocated complete equality between the sexes
● He asserted that confining women to housekeeping interferes with the proper development of natural talents
● collective work would improve climatic conditions and fewer clothes would be required
Cooperative living was central to his thinking as the way to change the environment in order to generate an entirely new and noble type of person
For the early stages of his ideal society Fourier advocated ‘guaranteeism’
Guaranteeism -the assurance that every person would be given a minimum subsistence , security and comfort
Swiss economist and historian of French descent was among the first to launch a direct attack on classical
economics Let us beware of his dangerous theory of equilibrium
which is supposed to be automatically established Raising the possibility of over production and crises –
one of the early contributors to business-cycle theory When wages are at the subsistence level, more capital
funds become available for investment in machines When the demand for consumption is limited , the output of
manufactured goods is increased Consequences are overproduction and periodic crises , the
latter necessary to liqiudate the excessive capital investment in large-scale industries
Sismondi denied that the largest possible aggregate production coincides with the greatest happiness of the people
He urged small-scale production in the towns to avoid producing more than could be sold
Only state intervention would ensure the worker a living wage and a minimum social security
Agriculture should be promoted at the expense of urbanization Sismondi stated that not every individual force is equal strength
and individual self-interest need not coincide with the social interest
Sismondi was the first to apply the term proletary to the wage laborer
Proletary – men in the Roman republic who had nothing , who paid no taxes and who could contribute their offspring
Robert Owen(1771-1858)
Son of a Welsh ironmonger and saddler At age of 18 – borrow 100 pounds set up a partnership
with a mechanic Age of 20 – become manager of the largest and best-
equipped spinning mills in Lancashire
Central thesis -- the environment molds human nature for better or worse
Based on the belief that providing better working conditions would produce better people
Convert the New Lanark Mills into a model community Found 500 pauper children which begun work at the age
of six Introduced he reforms to prove that character could
thereby be reshaped for the better
Was an early experiment with efficiency wages Although Smith developed the seminal idea, but
Owen first put the idea into actual practice He partners objected to Owen’s extravagance He 3rd and last partnership formed in 1814 Agreed to limit their dividen to 5 percent on
invested capital and use all surplus revenue in the interest of the employees
Withdraw from his business in 1829 because of friction with some of his partners
Preached social rather than moral reformation Did things for people rather than encouraging
people to use their own iniatiative to get things done
Appealed to the government to enact factory legislation Mainly responsible for the Factory Act of 1819 End of the Napoleonic wars, urged the government to
employ the poor in “ villages of cooperation” but failed
Favored only a fixed rate of interest until the owners of capital voluntarily gave it up, as he believed they would
Leading a growing army of working –class disciples 1832 – National Equitable Labour Exchange as a
market where products could be exchanged on the basis of notes representing labor time
1833 – Promoting the Grand National Consolidated Trades Union
1834 – the Union dissolved
Louis Blanc(1811-1882)
Founder of state socialism 1839 – Organization du Travail bought him
fame and a position of leadership in the socialist movement
1848 – elected to the provisional government that overthrew the monarchy
Government organized national workshops to give work to the unemployed because of the issue of the right to employement
In Blanc’s view, universal suffrage would transform the state into an instrument of progress and welfare
Condemned trade unionism because he saw in strikes the futility of unprepared, isolated action
Promote state economic planning for full employment , development of welfare services, government capital and workers cooperatives
Should become “ banker of the poor ” Believed that producers associations aided by
the state would attract the best workers Drive the capitalists out of business through
superior competitive efficiency
CHARLES KINGSLEY(1819-1875)
Clergyman, poet, novelist & reformer An enthusiastic advocate of Christian socialism On 1848 - joined with Frederick Denism Maurice & Thomas Hughes to form Christian socialist movement Socialize the Christian & Christianize the socialist Concerned with the plight of the poor & down-trodden
Alton Locke (1851) Yeast (1853) Hypatia (1853)
The Water Babies (1863) Boy chimmney sweep- education, sanitation & public
health, pollution & rivers & streams