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The University of North Carolina at Charlotte

Inquiry Project: Synthesis Paper

S. Wyatt Shely

UWRT 11!"!#

$s. Caruso

1 %cto&er '1(

S. Wyatt Shely


2/6

Shely

$s. Caruso

UWRT 11!"!#

1 %cto&er '1(

Synthesis Paper

Poverty is an issue that a)ects hu*anity on every continent of the

+lo&e. It strips people of their ,i+nity- ,eprives the* of &asic necessities-

an, cripples their a&ility to ourish in society. /ven in the t0enty"rst

century 2poverty re*ains a +lo&al pro&le* of hu+e proportions. %f the

0orl,3s 4 &illion people- '.5 &illion live on less than 6' a ,ay- an, 1.' &illion

on less than 61 a ,ay2 7Worl, 8an9 I;. cient 0ays it can &e re,uce,. This is 0hat has pro*pte, the

question: With the +oal of re,ucin+ poverty- 0hat is the *ost opti*al syste*

of +overn*ent- socialis* or capitalis*? Socialis* is &ase, on +overn*ent

o0nership of pro,uction an, ,istri&ution- 0hile capitalis* is &ase, upon

private o0nership of pro,uction an, ,istri&ution. These t0o contrastin+

syste*s of +overn*ent ,evelop opposin+ i,eals 0ithin their societies3.

When assessin+ strate+ies to ,ecrease poverty- capitalists are critical

of @top",o0n +overn*ent fun,in+ as a strate+yA 7Shiri*a ';. They ,o not

&elieve that it is e)ective to ,istri&ute *oney as han,"outs to those in nee,.

There is evi,ence that supports this clai*. When Presi,ent Bohnson 0as

Presi,ent- there 0as an incre,i&le a*ount of *oney &ein+ spent on

+overn*ent pro+ra*s ai,in+ the poor- @an, the poor staye, poorA 7Stossel

'


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par.!;. Perhaps a *ore successful *etho, 0oul, &e to utilie privately

o0ne, charities that are locally &ase,. The privately o0ne, territories are

*ore acquainte, 0ith the pro&le*s connecte, to poverty- therefore 0ill &e

a&le to a,,ress the pro&le*s *ore pro,uctively.

/cono*ic +ro0th is critical to escape poverty 7Unite, Nations

Develop*ent Pro+ra*;. In a capitalist society- econo*ic +ro0th is create,

fro* the private sector throu+h the for*ation of ne0 &usinesses that provi,e

jo&s an, sti*ulate the econo*y. The &est 0ay to ,o this is to ,irect policy

e)orts @to0ar,s pro*otin+ innovation an, entrepreneurshipA 7Shiri*a 1;.

When people feel as thou+h thou+h they can create a &usiness- the ur+e to

0or9 an, cli*& oneself out of poverty is enhance,.


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inclu,in+ privately o0ne, charities E in or,er to support the *ore e)ective

private sector.

Socialis* is quite ,i)erent fro* capitalis*. In a socialist society- there

is the pro*otion of 2free,o* an, opportunity2 to everyone throu+h the

collective o0nership of factories an, pro,uction. This allo0s for everyone in

society to share the &enets of pro,uction- rather than the private o0ners of

in,ustry in a capitalist society reapin+ the prots 7SFP;. Govern*ents that

are associate, 0ith socialis* provi,e free healthcare to all of their citiens-

provi,e free e,ucation- an, have su&stantial 0elfare syste*s. The 0ay the

+overn*ents pay for these e=penses is throu+h a hi+her ta=ation. It is

i*portant to 9no0 that in to,ay3s society there is not a country 0ith a

+overn*ent that is co*pletely capitalist or socialist. $ost +overn*ents in

to,ay3s society are a co*&ination of *ultiple 9in,s. It is un,erstoo, that the

Unite, States is pri*arily capitalist in nature- &ut there are socialist aspects

such as 0elfare- the *ilitary- an, the HD


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Den*ar9- Hinlan,- an, S0e,en; 0ith socialist style +overn*ents that focus

on @+enerous 0elfare &enets an, lots of re,istri&ution of 0ealthA- yet they

*aintain civil li&erties 7Jel*an sec. ' par. K;. It is incre,i&ly intri+uin+ that

people have t0o polariin+ points of vie0 on 0hich +overn*ental syste* is

the &est for re,ucin+ poverty. Socialists supporters +ive a lar+e a*ount of

faith an, control over to the +overn*ent- 0hile capitalist supporters have

little faith in the +overn*ents e)ectiveness. Capitalists si,e 0ith the po0er

of the private sector3s a&ility to create ne0 enterprises 0hich in turn creates

0ealth.

The pri*arily socialist Scan,inavian countries have so*e of the lo0est

poverty rates in the 0orl, 7$iller par. 1;.


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