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Capitalism or Socialism
by Tataghata Mukherjee on Jan 08, 2008 12:17 PM

India, with most of its people below the poverty line, needed a strong welfare system, where the state intervened to help the poor to avail the opportunities. It was clear that Soviet Union set very good examples for doing that while most Western Nations failed.
During 1930-35, Soviet Union had a robust economy. Many of its achievements impressed foreign observers of all ideologies. These Western nations saw the breakdown of their own economic system. Learning from Soviet Union became important and quite necessary. Countries like Belgium and Norway adopted plans similar to that of Soviet Unions Five Year Plans. Hitler, a strong anti-communist, introduced his own Four Year Plan along the lines of Soviet Union to virtually eliminate unemployment.

These days, it has become a fashion to criticize and ridicule socialistic economy model. Most Indians leaders welcomed and hailed Soviet style economy and touted it as the only solution to India%u2019s problems. Capitalism, which imposed a completely unreliable and topsy-turvy economy onto its people, was considered the least agreeable solution. If you were an adult during 1947, there was a good chance that you too would have been agreeing to the soviet style socialistic economy


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