What is capitalism?

[denjoshep]

I often hear the term capitalism in economic and political discussions, but I’d like a simple explanation. What exactly is capitalism, how does it work, and what are its main features? Also, how does it differ from other economic systems like socialism?

 

[niyati]

Capitalism is an economic system where private individuals or businesses own and control the means of production, driven by the pursuit of profit in a competitive market. Key features include private property rights, competition, and a market-based economy where prices, production, and distribution are largely determined by supply and demand, with minimal government intervention.

 

[kebido]

Capitalism is an economic system where private individuals and businesses, not the government, own and control the "means of production" (like factories, tools, and land). The goal is to make a profit, and businesses compete with each other in a free market to set prices and produce goods and services based on supply and demand. Key features include private ownership, the profit motive, and competition.

 

[Grayson]

In a capitalist country, citizens, not governments, own and run companies. These companies compete with other companies for business. They decide which goods and services to provide. They also decide how much to charge for the goods and services and where to sell them.