PRINCIPLES OF MACROECONOMICS

Capitalism emphasizes fostering individualism while socialism emphasizes collectivism.  A major criticism of capitalism is that it creates an unequal distribution of resources and income within society because of its focus on individualism over collectivism.  However, a major criticism of socialism is that it lacks the incentives necessary for greater innovation thus preventing an economy from achieving a level of productivity to adequately support society.
 
Questions:

A.  Why do socialist countries typically have difficulty keeping up with the technological innovations of capitalist countries? 

B. Would a society that emphasized a capitalist mode of production benefit by a moral framework that emphasized collectivism (i.e., emphasized greater consideration of others and society)?  Why or why not?

Source: Copied & Paraphrased from Colander (2010): Macroeconomics, 8th edition

NOTE: Write your initial response with separate paragraph of no more than 5-7 complete, non-compound sentences for each part. Put each part into a separate paragraph.  Subsequent responses must be no more than 10 complete, non-compound sentences. All sources must be cited. Information should not be copied directly from any source.