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Exploring Capitalism and Communism: Lessons from the Cold War Era

This educational resource provides students with a comprehensive overview of capitalism and communism, rooted in the historical context of the Cold War (1945-1990). Students will define both economic systems, evaluate their respective advantages and disadvantages, and articulate a defense for their preferred system. The Cold War, marked by the rivalry between the United States and the Soviet Union, serves as a backdrop to understand the implications of each ideology on global power dynamics, governance, and societal structure.

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Exploring Capitalism and Communism: Lessons from the Cold War Era

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  1. THE COLD WAR (1945-1990)

  2. LEARNING TARGETS STUDENTS WILL: Define capitalism and communism. Evaluate the benefits and negatives of each system. Choose the economic system you think is better and defend your choice.War

  3. The Cold War Essential Summary The Cold War was the rivalry between the U.S. and the Soviet Union which included no actual fighting. The U.S. was democratic and believed in capitalism, a free market system. The Soviet Union was a dictatorship that supported communism, in which the government controlled all production and distribution. These conflicting beliefs led to competition in weapons, technology, and world power. As communism spread, the United States tried to stop it through a policy of containment. American people reacted to spreading communism and the threat of nuclear war with preparedness, and at times paranoia. Due to cooperation and diplomacy, this rivalry never led to outright war.

  4. Capitalism vs. Communism Obervations: • Capitalism: • Communism:

  5. THE COLD WAR • competition for world power b/t the • Soviet Union and the U.S. • no direct fighting, but arms race Vs.

  6. Capitalism • Private ownership • Profit to owner • Free market determines production, distribution, prices, services • AKA “supply and demand” • Little government interference

  7. Communism • Plan to make everyone equal • Often starts with revolution • Government owns/controls everything • No private business

  8. United States • Capitalist • Democracy • Value freedoms • Different economic classes

  9. Soviet Union • Communist • Dictatorship with fixed elections • Censorship, not allowed to leave, secret police (KGB) • Not able to compete

  10. Positives and Negatives of Each COMMUNISM CAPITALISM + -- + --

  11. Exit Slip The major difference between capitalism and communism is ________________ _________________________________. C______________ is a better economic system because __________________ _________________________________.

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