State Socialism

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State Socialism is a term introduced to describe the type of government in countries ruled by communist parties, such as the former USSR, which are generally known as Communist States. However, in its original meaning, communism refers to a situation where there is no state and where everyone does what they can and takes no more than they need. So the term 'State Socialism' was introduced to avoid confusion. Some, however, most notably Trotskyists, say that is also a wrong term and propose the alternative State capitalism.

Historically speaking, Otto von Bismarck's social welfare policies were frequently branded "state socialistic" by himself, his followers and the Liberals.