Common Ownership - Common Ownership and Socialism

Common Ownership and Socialism

Various socialist movements (especially libertarian socialism) advocate common ownership of the means of production by all of society, although sometimes socialists classify socialism as public ownership of the means of production and define upper-stage socialism, or pure communism, as common ownership of the means of production and a classless society based upon a superabundance of goods and services. Public or state ownership of industry is viewed as a temporary measure during the transition from capitalism to socialism which eventually is displaced by common ownership of industry as state authority becomes obsolete when the distinction between classes evaporates. However, common ownership in a hypothetical socialist society is distinguished from primitive forms of common property that have existed throughout history, such as communalism and primitive communism.

It is the practical application of the socialist desire to achieve the “common ownership of the means of production” (see Clause IV). Its purpose, by preventing control being obtained through the purchase of a company’s share capital, is to ensure that the founders’ aims are pursued in perpetuity. This is particularly desirable to the founders of a workers’ co-operative, who, inspired by solidarity and the desire to create fulfilling employment, will typically build the business up through hard and low-paid work (misleadingly called “sweat equity”). They may out of a sense of fairness wish to hinder future generations of employees, or their heirs, from winding up the co-operative so as to be able to share the sale proceeds among themselves (see asset stripping).