Tuesday, April 7, 2015

Agriculture industry in the Soviet Union & in the United States


When Stalin came into power he basically wanted to get rid of any traces of capitalism in the Soviet Union, to essentially give the government all the power. Under his New Economic Policy he tried to cause rapid industrialization which had the main impact on individual owned farms. He wanted to transform the nation from mostly individual farms into state-collective farms, which ultimately backfired. Workers weren’t being paid for how hard they worked or their effort necessarily, so they began to stop working as hard because their salaries no longer depended on it. This led to extreme inefficiency.

The U.S. on the other hand is a capitalism economy, meaning we have a lot more private owned farms. We have a free enterprise system which allows small business and farm owners to compete for profit with minimal government regulation. The amount a farm make a year is directly related to the amount of work put in, crops produced, of livestock raised, which is why we are so efficient. The profits are solely made and managed by the farm owners, not the government, which is an example of our free enterprise system.

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