Socialism is an economic philosophy in which society, rather than private individuals, owns the means of production. It is not well defined in reality, is subjective, and involves a wide range of economic policies. Some countries even adopt a pragmatic socialist approach. As society loses its competitive edge, socialists are supposed to remove the incentive to develop. The assumption is based on Adam Smith’s treatise, An Inquiry into the Nature and Causes of National Wealth, which is the source of capitalism. In the United States, 42% of people have developed favorable opinions of socialism. Several countries have tried various types of socialism with varying degrees of policy, with mixed results. Through Democratic Socialism, several countries, such as Sweden and Norway, are growing with the greatest happiness index scores. Do socialist policies, on the other hand, solve these issues? And if they do, will it be at the expense of innovation? The majority of people believe China is a socialist country, which is not the case. To fit their economic models, most countries have adapted or modified socialist policies. Below, we present a list of 15 successful “socialist” countries and examine the scope of socialism.
Here is Insider Monkey’s list of 15 socialist countries that have succeeded. Moldova was a socialist country in the Soviet Union until 1991, when it gained independence. It began liberalizing its economy and privatizing a number of state-owned enterprises. According to Heritage, Moldova has a high score of 72.58 in social advancement but only a 33 in innovation. Following the demise of the Soviet Union, Croatia was sluggish in transforming its economy. It liberalized its economy, yet a sizable chunk of the GDP is still set aside for social welfare. Croatia is ranked 63rd in the world for competitiveness and has a high social progress score of 81.92. Slovenia was a member of Yugoslavia until 1991 when it declared independence. Slovenia has one of the world’s lowest Gini Coefficient scores. Although the economy is only somewhat free, socialist components remain in the country’s economic policy. In terms of worldwide competitiveness, it is ranked 35th. Portugal is a southern European country known for its seafood. In Portugal, the socialist party is in power, having won re-election in 2019 with 36% of the vote, up 4% from the previous election. Portugal’s economy is ranked 34th in the Global Competitiveness Index, despite the government’s overspending, tax burdens, and market regulation. For more details on countries on this list, click 15 Socialist Countries That Have Succeeded.
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