• 1945-1991
• Clash of ideology
• Unofficially started in 1917

Countries formed after

• Period of distrust and misunderstanding
• Capitalism is when an economic and political structure where private proprietors, acting for their own financial gain, control a nation's trade and industries.
• Communism is a theory or method of social organization where everyone shares in the community's ownership of all property and gives and gets based on their needs and abilities.
• Capitalist believed in Laissez Faire (Free Market Economy)
• Communist believed in:
  • Nationalization of resources
  • Equal Pay for equal work
  • State Control of industries
  • No freedom of the press
  • Abolition of the private sector
  • Communism ultimately leads to a dictatorship or authoritarian government
• Domino Theory-
  • If one nation became communist, neighboring nations would follow
  • Many African and Asian countries gained independence
  • Under developed nations likely to follow communism