Changes

Although socialist parties are common in Europe, the leading examples all currently embrace some free enterprise, individual property rights and certain other aspects of capitalism although leading European Socialists are very critical of America. In many European countries socialism has been changing to [[Social democracy]].

Although socialist parties are common in Europe, the leading examples all currently embrace some free enterprise, individual property rights and certain other aspects of capitalism although leading European Socialists are very critical of America. In many European countries socialism has been changing to [[Social democracy]].

== Criticism of socialism ==

==Criticism==

[[Friedrich Hayek]] and [[Ludwig von Mises]] were important critics of socialism, particularly regarding what is known as the Socialist Calculation Debate.  Hayek and Mises argued that a socialist economy would face information constraints that would prevent even well intentioned planners from efficiently allocating resources.  That is, the planners would not know how much a battleship or a hospital cost, and could not efficiently allocate resources among different choices.  This criticism should be considered as compatible with, but independent of, criticisms based on [[Public choice theory]] that bring into consideration the incentives of political actors.

[[Friedrich Hayek]] and [[Ludwig von Mises]] were important critics of socialism, particularly regarding what is known as the Socialist Calculation Debate.  Hayek and Mises argued that a socialist economy would face information constraints that would prevent even well intentioned planners from efficiently allocating resources.  That is, the planners would not know how much a battleship or a hospital cost, and could not efficiently allocate resources among different choices.  This criticism should be considered as compatible with, but independent of, criticisms based on [[Public choice theory]] that bring into consideration the incentives of political actors.