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> Communism was created by Adam Smith, an economic philosopher.
- free market = free of gov. regulations and interference (lassiez-faire = allow to do)
* private ownership of industry and business (competition)*
- Down Side = there was an uneven distribution of wealth
> Socialism = created from the ideas of Karl Marx and Friedrich Engels (inspired proletariats to do this)
- made to reform the ills of capitalism (uneven distribution of wealth)
- made to fill the gap between rich and poor
- people should be able to meet their basic needs
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