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What are the differences between socialism and capitalism?

Socialism promises equality but often delivers enslavement, while capitalism, despite its flaws, nurtures freedom and the potential for true transformation.

— Osho
According to Osho, socialism sacrifices individual freedom for a deceptive 'equality' that becomes equal enslavement: one party, sham elections, censorship, and a fixed ruling class. Capitalism, though imperfect, preserves freedom—especially of speech and choice—and thus offers real mobility and opportunity; the poor can become rich, the press can criticize, and diversity of parties and views keeps power from hardening into tyranny.

Socialism is like one boss who won’t let anyone talk or choose; capitalism lets people speak up, pick their own path, and try to do better.

In His Own Words

From the Discourses

Passages where Osho speaks to this question — each links to the complete discourse.

Naye Samaj Ki Khoj · Discourse 8 1970-08-21 Delhi Hindi

Another friend has asked: Osho, what is the relationship between the method of meditation and jati-smaran (recollection of past lives)?

But the one who becomes skilled in this—who can fully awaken any day’s memory up to the age of five—will find that the memories begin to awaken completely. And you should test it. As today passes, note down some events and lock them up. After two years, try to recall today. Most of it will have been forgotten. Then remember—and after remembering, break the lock and compare whether what you recalled matches what you had written. You will be amazed—astonished—that besides what you wrote, many more details have come back which you did not even note at the time. They will all be there in memory. Buddha called this alaya-vijnana. There is a corner of the human mind he called the storehouse of consciousness. Like a junk room in the house where we keep all the odds and ends, there is a storehouse that collects memories—where everything from birth after…

Another friend has asked; he has asked that... Osho, what difference do you see between socialism and communism?

I see the same difference as between the first stage of tuberculosis and the third—no other difference. Socialism is a somewhat pale, diluted communism; it is the first stage of the disease. And in the first stage the disease is not clearly visible, so it is easier to be taken in by it. That is why, all over the world, communism has started using the word “socialism.” The word “communism” has become notorious. And because of what communism has done to the world in the last fifty years, its respect has withered. In these fifty years, communism’s prestige has been dragged into the dust. So now communism has begun to use the word “socialism.” Now it talks of socialism and may even try to say it is different from communism. But there is no fundamental difference between socialism and communism—only a difference of words. Yet by changing the word we…

What about socialism not as a means of creating equality but only as a means of providing everyone with the basic necessities of life?

The less successful capitalist countries and the undeveloped countries, the poor countries that have no capitalism at all, have become more and more socialistic, while America has not become socialistic. According to Marx, socialism is a natural outgrowth of capitalism so America should be the first socialist country. It has not been so. Socialism exploits the jealousy of the poor. To me, it is the greatest exploitation that has happened on earth. Capitalism has exploited the labor of the poor and socialism has exploited their souls. It is through jealousy that socialism steps in. But through jealousy, no revelation, no transformation can be achieved. It can kill, it can destroy, but it cannot create. Socialism is a fiction. It is not scientific. To me, only a capitalist society is a scientific society. I am not saying that capitalism will remain as it is. It will go on growing and changing…
Beware Of Socialism · Discourse 1Para 14 1970-04-13 Cross Maidan English
The socialism that was born in Russia is such a premature child. Russia was not a capitalist country, so socialism was forced on it much before its time. Socialism was born, but it was born dead. That is why ten million people, all poor people, the very people for whom socialism was ushered in, had to be killed mercilessly. Perhaps in the history of mankind no other country has resorted to such colossal killings as the two socialist countries, Russia and China, have done. And the irony is that the people who were slaughtered were those for whom socialism was brought in. Russia never had ten million capitalists. Ten million capitalists don't exist even in America today. Yet ten millions were butchered in Russia, that we know. And they were those for whom socialism came into being. But killing becomes easy when killing is done "in your own interest".
I Am That · Discourse 11Question 1 1980-10-21 Buddha Hall English

Osho, when answering the following you would be speaking to about half a million radio listeners in europe; most of them may not have heard anything about you yet. If one of the listeners to this program is devoted to socialism, what would you tell him? If one of the listeners is a practicing catholic, what story would you have for him? If one of the listeners is a potential seeker, what message would you have for him? However, if your message is silence, how would you convey this silence on radio?

My effort here is to help you to discover your original face, so whether you are a practicing Catholic or a Protestant or a Hindu or a Mohammedan, it is all wrong. Love Christ, but don't be a Christian. Love is a totally different phenomenon. If you become a Christian you are addicted with Christ, you become dependent on Christ. If you are a Christian you are bound to be anti-Buddha, anti-Mahavira, anti-Lao Tzu, anti-Zarathustra, anti-Patanjali.Just choosing Christ and becoming anti to all the other great awakened individuals who have walked on the earth is becoming poor, unnecessarily poor. When you can claim the whole heritage of humanity, when all the Buddhas, all the awakened ones can enrich your being, why narrow down your consciousness? Why become focused and obsessed with Christ or Buddha or Mahavira or Krishna? A Catholic means he is obsessed with Christ, a Hindu means he…
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