As the film started I was unaware of what the contending point were but, as time went on I finally came to realize that there are three main points; Socialism, Keynes versus Hayek and right wing versus left wing. To begin with I didn’t really understand what the conception of socialism compared to capitalism or communism meant. Now I can say that socialism is basically when the government regulates the economy compared to communism, which is a bit more liberal, but still similar. I also learned that capitalism and socialism are complete opposites because socialism is where the government leaves the economy up to the community to control. Whereas capitalism is when an economic and political system in which a country’s trade and industry are controlled by private owners for profit, rather than by the state.
Also one argument that is stated is globalization as periods where free markets predominate, and countries place few if any limits on imports, exports, immigration and exchanges of information. Overall, they see globalization as a positive movement that improves the standard of living for all the people connected to it, from the richest to poorest. To focus more on the differences of opinions Keynes could see the mistakes of free market in the time after the war. He believed that those mistakes could be improved if the government regulated the economy. However, on the other hand Hayek thought that the free market would fix itself, with no government control. The war caused an entire continent to be displaced and this brought attention to political parties. Individuals began to search for something better during this time and that something came in the form of socialism and communism. Within western societies a fascination grew over the whole idea of owning and regulating the “commanding heights” of the economy. As the two wars occurred the world as a whole witness the downfall of capitalism. So each part of the world found a coping method, which was either socialism or communism. The idea of socialism would cause for a more justice society,
which is a principles that Keynes felt, was needed in order for a society to properly function. Hayek didn’t believe in this idea clearly because he believed that people within the society need to be removed from governmental restraints. They needed to have the chance to live in a market based society because felt this was an ideal concept. Also Hayek idea of a fully functioning free market without parameters was similar to Ludwig Von Mises. He was a libertarian who thought markets should be free from the government interfering. In addition he felt that socialist stated cant run properly because they don’t have a operating price system to send to consumers and producers.