the perfect system

Throughout history, there has always been a struggle between owners of the capital and workforce and, to a greater extent, between types of economies. There are three main ways in which an economy is supposed to work: demand economy, command economy and intervention economy. However, effective or ineffective as they may be, all these economies have their flaws.

First of all, the demand economy, also known as the market economy, is based on a fairly easy concept: independent producers compete to satisfy consumer demands. There are no “patterns” but there is an “invisible mechanism” which assures everyone’s satisfaction. Producers prosper provided the consumers are pleased, and, at least in theory, everybody is happy. However, problems appear when the demand and the supply are not equal. For example, when the supply exceeds the demand, prices and profits tend to fall, producers lay off workers in hope for lower costs, but people are then unemployed and cannot afford to buy w...