Answer to Question #192547 in Political Science for December

Question

Which one of the following statements on the characteristics of the different variations of 

capitalism and socialism is correct?

1. Social capitalism and collective capitalism are similar in that both encourage strong relations 

between regional banks and locally owned businesses with manufacturing industries 

displaying the same level of commitment to the preservation of a collective social identity. 

2. State socialism and social capitalism are ideologically similar since both advocate for a 

state-centred approach to national economic development. 

3. Market socialism constituted a shift from a centrally planned economy that defined state 

socialism to embrace certain elements of the free market economy. 

4. The UK under the leadership of Margaret Thatcher was the epitome of the beneficial effect 

of social capitalism in practice.

5. Post-Second World War Germany is a classic example of the effectiveness of collective 

capitalism

Answer 1

3. Market socialism constituted a shift from a centrally planned economy that defined state socialism to embrace certain elements of the free market economy.