Commanding Heights Essay Example | Topics and Well Written Essays - 500 words

Commanding Heights - Essay Example I am in agreement with Keynes that during the time after World wars and depression as many folks were in desperate poverty and had to unite to build nations. However, am in disagreement with Keynes when he states that the disadvantage of free market is the extremism, which he stated could be countered by government interventions. However, these interventions are orthodox considering how US president Nixon compromised when he introduced wage and price control leading to collapse and deterioration of the economy. This is also one of the reasons why Payeks argued that central planned economy would give governments much power leading to totalitarianism which is detrimental to the economy (tanmovie1234s channel). Socialism system has the benefit of ensuring the poor a decent life through fair and equitable sharing of resources among the people, but, on the other hand, free market brings about opportunities through which they can increase their living standards. However, irrespective Payeks idea of free market, there is need for the government to control the industries and business because in case of monopolies they should be monitored to avoid exploitation. Moreover, in a competitive economy facilitated by free market, there may bring about unhealthy competition which will be at the peril of the consumers or citizens. I am in agreement with Van Misses who was in support of free market and argued that socialism economy lacked the price system that governed the demand and supply that dictates the prices of commodities, which lead to chaos and ultimately economic crisis. Irrespective of these arguments for or against both socialism and free market systems, I have come to learn that history repeats itself irrespective of the system implemented. This is considering the 2008 economic crisis and stock market collapse similar to that of October 24, 1929. Therefore, every economic system has its advantages and disadvantages,