By looking at the difference in the amount of government involvement and economic success of various nations, it is apparent that limited state control is most beneficial. For instance, while the former USSR developed an economic system that contained large amounts of government interventio

Although limited government involvement in an economy can result for positive outcomes in an economic crisis, many other benefits can also result for a nation that has little state control. For instance, in the United States, the prices of the goods made available to the consumers are derived from a system called the "price system". In this system, the government does not participate in the forming of the prices of the products. Instead, the majority of the goods are sold at the prices that the consumers are willing to pay. By looking at the consumers' demands, and also at the production costs and profits desired, individual corporations set specific prices on their goods. Since the consumer has the freedom to choose whatever product they desire from any business, corporations keep their prices in a range that will attract the most business for the most amount of profit. With such a little government involvement in the pricing of the goods, consumers and business work together to reach fair prices.

While Adam Smith, the creator of the idea of true capitalism felt that a successful economy was one with no government intervention at all, it has been demonstrated that a small amount of government involvement in an economy can be beneficial. For example, when the Unites States of America experienced high inflation rates, the aid of the government was needed to help restore the economy. Without that help, a large depression could have resulted. By involving the government very subtly in an economy, as demonstrated in the previous example, large economic disasters can be avoided.

After Lenin's rein in the USSR, another leader took an active role in the planning and regulating of the country's economy. It was Staling/s goal to increase production within his nation, but he planned to do so with complete control over every aspect of the people and the economy. For instance, Stalin converted the once privately owned farms into state farms with the plan to produce more food. He forced the peasants to give their food to the government, which they in turn sold to other countries and gave to the factory workers. He also imprisoned and killed citizens that refused to follow hie orders, or demonstrated a lack of faith in the communist government. By creating unrealistic goals for the country's economy, and by ruling the people with strict force and regulation, the USSR's government forced its citizens to work extremely hard for very little pay. While the nation's productivity did increase, it did so though the expense of the people. Living conditions were horrible at this point, and consumers had no influence or input on the economic planning of their economy. It was through this complete government control over the economy in the USSR that citizens were stripped of their independence and individual profits, and though the nation's productivity did increase, there was a lack of freedom for people in a world of poor living conditions.

n and regulation, it did not successfully deal with the nation's recession, grant individual freedom to its citizens, or promote competition and individual initiative among its people. The United States, on the other hand, has been recognized for its successful solutions to economic crisis, and national promotion for individual growth and competition, all with little government intervention. As demonstrated by the United States, compared with Russia's former command economy, a successful economy is one in which there is little government involvement

Some common words found in the essay are:
War Russia, United America, Government Intervention, Unites America, Ronald Reagan's, government involvement, United Successfully, Adam Smith, United States', little government, amount government, government intervention, government involvement economy, involvement economy, amount government involvement, government control, economic crisis, little government involvement, amounts government, privately owned, former ussr, government intervention economy, involvement economy consumers,
Approximate Word count = 2358
Approximate Pages = 9 (250 words per page double spaced)