Class struggle wouldn't be class struggle without some competition. In the Communist Manifesto, Karl Marx says that engaged in buying or selling, whether we're talking about a capitalist running a business or a worker selling his or her labor, has to compete against rivals in order to make money and survive. So class struggle isn't just against other classes; it's against members of your own class, too.
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Competition leads to better lives for people than cooperation, because competition pushes us to strive harder.
Cooperation leads to better lives for people than competition, because cooperation encourages us to take care of each other.