Pancasila as The Ideology

of Indonesia
(In Comparison with Capitalism, Liberalism,
Socialism, Communism)
 THE IDEOLOGIES THAT HAVE BEEN
KNOWN AND POPULAR:
01 CAPITALISM

02 LIBERALISM

03 SOCIALISM

04 COMMUNISM
 What is Ideology?

01 Ideology comes from the words

“idea” and “logos” 04 Ideology as a normative provision
(suatu ketentuan normatif) that
must be obeyed in the life of the
nation, state and society

Ideology is a concept that must be

02 Ideology contains a set of values
and morals 05 fought for and has both positive and
negative sides

Ideology as an interpretation of
reality An Ideology is considered positive
03 06 by its followers
 The Functions of Ideology

01 Legitimacy function

02 Unity function and as a symbol of

collective life

Moral function and as a

statement of feelings, thoughts,
03 and interests that keep being
repeated, so that it becomes
a habit
 “
“ Based on the definition and functions of Ideology, give
a brief explanation of the concept of Ideology!
 CAPITALISM

01 capitalism comes from the

word “capital” which mean
03
capital or stock.Capital is
A material resource that can
be exchanged
Capitalism: a production,
distribution and exchange
systemwhere the accumulated
wealth is
reinvested to gain continuous
profit

Capitalism: an understanding that

uses capital as the main element in
02 social and economy system 06
• On capitalism, the government acts as a provider of
institutional means to facilitate the economic
relations in the market

• Capitalism as a political, social and economic

system, where personal wealth (including various
CAPITALISM
capital resources controlled by individuals) in state
capitalism must be able to provide wealth
recognition of the individuals' wealth

• Capitalism as a system that was designed to

encourage trade expansion, from local scale to
regional and international scale
“
Karl Marx defined capital as a value that involved in the
process of dynamic self-expansion. The value has
several meanings, such as in the form of money, values
from the production inputs (labors, raw materials, “
machines and buildings) and commodity value.
The capital process is carried out to gain more profit
 On Marx's frame of mind,
Capitalism is a social and
economic system that
creates contradictory social
class, bourgeois (borjuis)
and proletarian (ploetar)
class
Bourgeois Class is the class
of the capital owners who CAPITALISM
control the means of
production and capital,
while Proletarian Class is
the class of the workers
who do not have or control
the means of production
and capital
• Trans-National Corporations (TNCs), a global
corporation that is currently operating in all countries,
has significant impacts on micro-economic
entrepreneurs, who are only able to survive at a Global
certain level due to unbalanced competition with
TNCs Capitalism
• The typology of country division is based on System
technology, financial power and the prosperity of
society
• “we cannot conceive the capitalism without
understanding beforehand the term capital.
Heterogeneousness even differences are appreciated
when in the conceptualization of the notion of capital” Concept of
(Amira M. Tuil)
capitalism
Term of capital (Encyclopedia Universalis France):
“together of goods or activities determining the wealth
of group of individuals. “Capital” means wealth;
the capital constituted the fortune”
The Concept of Capitalism
“The Political Economy of Capitalism explained capitalism
as a system of indirect governance for economic
relationships, where all markets exist within institusional
frameworks that are provided by political authorities”

“The Macmillan Dictionary of Modern Economics explained

capitalism is political, social, and economic system in
which property, including capital assets, is owned and
controlled by for the most part by private persons.
Capitalism contrast with an erlier economy system,
feudalism in that it is 3 characterized by purchase of labor
for money wages as opposed to the direct labor obtained
through custom, duty or command in feudalism”
LIBERALISM !
 LIBERALISM

• The linkages between capitalism and the spirit of liberalism grows and
develops on the same way, each of it takes a synergistic spirit and direction

• Liberal Ideology is identical to two things: “Public” and “Private”

• Liberalism is a worldview that was built on freedom (liberty) and equality.

It has the same values as capitalism, which cultured freedom and individualist
 The Components of Liberalism

Philosophical Social Aspects

Aspects
A B

C D
Economic Aspects
Political Aspects
The Components of Liberalism
The philosophical aspects of liberalism :
the liberalists have a fundamental commitment to
equality, freedom, individualist and rasionality

The social aspects of liberalism : is a transition

from the structure of feudalism to capitalism.
Liberalism ideology was influenced by the development of
science in the Age of Enlightenment (Aufklarung)
 The Components of Liberalism
The political aspects of liberalism : is a conception
of the political order summarized in social contract theory
(State of nature). It explains about voluntary association
by mutual agreement of its members

The economic aspects of liberalism: agreed to a free economic system without

state interference with Laissez faire (where the government's role is minimized,
only to secure individual freedom, so that they can compete in the free market)
“ Liberalism ideology believes that individual independence, recognition
of individual rights, religious liberty and guarantee of freedom of speech are
private sectors and the state can not intervene through its policies
and regulations

“
In fact, the values of equality are often not implemented in the liberalism
ideology. The liberalism ideology only refers to a liberal and western lifestyle,
so that the ideology is considered contradictory to the norms and values
of society
SOCIALISM
 The Concept of Socialism
Socialism is a socio-economic system
characterized by shared (collective)
ownership of sources of production and
collective management of strategic
economics

Socialists have an assumption about

social welfare, where social welfare
is a basic right of citizens
that can't be Overridden by the state
* Overriden (tidak dapat dikesampingkan/acuhkan)
 The Components of Socialism

Socialism prioritizes the interests of society,

collective responsibility

Socialism emphasizes the aspects of prosperity

and productive collective effort
Keyword of socialism : “collective”
 The Components of Socialism

Social welfare is manifested through “social

policy (public)” that aims to address social
inequality towards social justice

The form of socialism in public policy is social

protection, social security

A welfare state is identical to the role of the state which plays a major role
in fighting poverty and injustice through social services and social protection

Notes : Sosialisme adalah paham yang menekankan pada aspek kesejahteraan

masyarakat dengan kesepakatan kolektif dan pemerintah memiliki peran yang dominan di dalam pelaksanaannya
COMMUNISM
 The Components of Communism

Communism is the highest stage of society,

where social class and opposition have disappeared

because there is no longer monopoly on production
sources and assets
 Based on the ideals of communism,

“ communism is more humanist compared to liberalism

but historical interpretations often contain elements
“
of construction and particular interests
so that the interpretation of communist is considered a moral crime
and anti humanity
The Basic Concept of Ideology
LIS M
ITA
CAP
Based on some sources,
such as religions, RA LISM
cultures and the experts, LIBE
ideology in the life cycle
IA L ISM
of society is a part that SOC
ideology has a dynamic
dimension and the ability
to adapt to the U N ISM
CO MM
conditions of society
 Questions
Based on the explanation of Capitalism, Liberalism, Socialism, and Communism :

Make a comparison between Capitalism

01 and Pancasila

Make a comparison between Liberalism

02 and Pancasila

03 Make comparison between Socialism

and Pancasila

04 Make a comparison between Communism

and Pancasila
Thank you