APPROACHES TO INDUSTRIALIZATION

APPROACHES TO INDUSTRIALIZATION

Approach to industrialization varies according to societies but, there are two main approaches, namely;

1.     Capitalist and

2.     Social Approaches.

FEATURES OF CAPITALIST SYSTEM

·        CLASS SYSTEM; bourgeoisies and working class: The bourgeois owns the machines that are required for production and also sometimes own lands. The working class is the class that don't own any means of production. Their labour is commoditized. They lost their time; someone controls their time for them.

·        COMPETITION IS EMINENT: Competition exists in the capitalist society because the market is free and open. It’s this competition that also gives raise to industrialization because of the competition among the producers. if competition does not exist monopoly will take over and if there is monopoly the prices will not be determine by the market, producers will sale their goods at any price they want because he is the only person in control. So, the presence of competition leads..........

·        Capitalism is labeled, laissez-faire economy; a free economy without intervention of the government; the basic economic decisions are left alone to the producers i.e. where they will sales their goods, the process in production, the price and so on, all will be determined by the producers rather than the government. In the quest of making more profits, risk has to be taking, increases the capacity of the production. The sources of their capital are from the exploitation of resources within the land, exploitation of human labour etc.

·        Capitalist societies are carried out by the interest of the bourgeoisies: as capital is accrued, the machines will be improve and improved from light machines/industry to small industry/machines and later the larger machines.

SOCIALISM

This is an economic system that is not owned by the bourgeoisies or the private individuals, it is owned by the society, communities, and groups. (NB: In communal societies peoples don’t own the machines, they depend on what nature gave them whereas in the socialist people have machines)

            Production is centrally planned; there is planning committee comprises of some experts economist, people from different socialization. The purpose of the planning is to ensure that the resources reach everybody in that society; to ensure that both the human and material resources are adequately used. It involves a coordination of different factories; all economic activities are geared according to the plan. Workers are responsible for the creation of day to day activities. Factory disciplines, techniques of products and other issues that have to do with production are determine by the workers. Because of this, democracy is eminent, where votes needed to be casted for the interest of all and everyone has equal right and chance; they choose a leader from among themselves to lead them.

            Workers do not own the factories but it’s owned by the society. They are expected to adequate take care of these means of production. If they don't own it, how did the workers have it? It is because taxes and levies were collected from the people and also the banks, from the resources available on that land.

            Labour is not commoditize; when a worker works, he is working for himself unlike in the capitalist societies, you don't work for somebody and at the end you are paid in the workplace, you organize yourselves and determine who gets what from what you produce on the basis of your equality and your contributions.