To each according to his contribution

"To each according to his contribution" is a principle of distribution considered to be one of the defining features of socialism. It refers to an arrangement whereby individual compensation is reflective of one's contribution to the social product in terms of effort, labor and productivity. This is held in contrast to the method of distribution and compensation in capitalism, an economic and political system in which property owners receive unearned income by virtue of ownership irrespective of their contribution to the social product.
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