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Capitalism

Capitalism is a political system characterized by private for-profit ownership of property and goods.

631 Questions

Why is Adam smith called the father or capitalism?

Adam Smith is called the father of Economics becasue he was one of the first people during his time to theorize economic theory

What did Karl Marx believe about capitalism?

Karl Marx believed that capitalism through industrialization had increased the productive capability of the world's economy far beyond that ever witnessed before. Nevertheless, he also felt that capitalism created two competing classes of people. One, was the bourgeoisie who owned and controlled the means of production and hired wage laborers. The other was the proletariat, who were common workers who owned nothing but the right to sell their own labor. Capitalism's very nature would ensure that eventually, these classes would struggle against one another to the point where the class of workers would get large enough and oppressed enough that it would overthrow the bourgeoisie, seize the means of production from it and end the economic system known as capitalism. The system of socialism would be ushered in and gradually evolve into pure communism.

What are the dangers of capitalism?

The only dangers are trying to be implemented to early. That has lead to authoritative governments like in the ussr. No country has ever achieved communism. The only safe way to do it is to do it worldwide and first developing sociailist systems and fully develope socialism in governments across the world. In communism itself there arent many dangers

Was not part of marx's transition from capitalism to communism?

In between capitalism and communism, Marx stated there had to be a long period of socialism which would last for generations until all vestiges of capitalist thought and all members of the bourgeoisie were eliminated. During the socialist period, the country would be run by a government Marx called a "dictatorship of the proletariat." By dictatorship he did not mean the type of dictatorship that all "communist" countries have experienced, i. e. totalitarian government. Marx meant a democratically elected government but that members of the bourgeoisie would not be allowed to vote and would not be allowed to participate in running it.

Is private property an essential part of capitalism?

I do not see how capitalism could exist without the concept of private property, but I have heard there are some elements of capitalism in socialist countries which do not allow private property, so perhaps it is not essential.

What were Stalin's views on capitalism?

The Bolshevik Party was based on the ideas of Karl Marx and Frederich Engels. From that viewpoint, the Bolsheviks believed that capitalism was inevitable and was the last step before a workers revolution. The Bolsheviks were impatient however, and although Russia was not a highly industrialized nation with a numerous and strong working class, they believed that a revolution producing a dictatorship of the proletariat was possible.

What statement is a PRIMARY characteristic of a capitalist system?

Free enterprise is usually a characteristic of a capitalist system. Free enterprise is the idea that people are free to operate their businesses with little, if any, government controls.Free-enterprise capitalism has been a powerful idea throughout American history. Starting in the 1700s, colonists complained against Britain's Navigation Acts because they controlled trade and limited freedom of enterprise. The desire for economic freedom was one of the causes of the American Revolution. The idea of free enterprise remained strong during the 1800s. Many immigrants came to America because its free-enterprise system gave them the freedom to work as they pleased. (Note: Some countries have capitalist systems which grant less freedom of enterprise than others. For example, modern Japan is a capitalist country, but its government places some strong controls on Japanese businesses.)

What are the social benefits of perfect competition?

i don't think it's good enough especially in the developed country or society, beside the positive impact for rising the potency of the society, perfect competition also make the competition only available for whom had enough resources, not for all society. so this condition must have a mediator to make competition become fair enough for the society

What is the capitalism view on globalization?

Capitalism is the economic system that dominates the world today. Economics is a study that tries to understand how economies work, when economists today refer to the economy, they are referring to the capitalist system. Though economists only use the term "capitalism" on a more regular basis when it is in crisis.

In which countries is there pure capitalism?

their are no countries that have pure capitalism because pure capitalism can never exist. pure capitalism lead to anarchy and a coercive monopoly whit businessman telling how to live are life.

What is the relationship between protestantism and capitalism?

There is a famous book by Max Weber called The Protestant Ethic and the Spirit of Capitalism. His thesis is that Protestantism created the values that developed capitalism.

How did capitalism lead to industrialization?

This is an interesting question in that the terms industrialization and capitalism are in reverse order. Here is the explanation.

It was capitalism that fueled industrilization, not the reverse.

During the industrial revolution that occurred in Europe and the USA, the governments' "hands off " policies on the economy led directly to investments in producing capital goods and services.

One note on this however, as it is a vital one in the economic growth in the USA. Capitalism is an economic system whereby private investment and industries are not closely regulated or "owned" by the government.

In the USA, most of the land west of the Mississippi River was owned by the Federal Government. With that in mind we come upon one of the most profitable &powerful busnesses in the USA in the 19th Century.

The railways were the "children" of the Federal Government. The rights of way, land leases or giveaway sales to the railways by the government were socialistic in nature.
The Indstrial Revolution fueled the growth of capitalism with increased work productivity and a boost to the economy.

Difference between capitalism and socialism?

Capitalism: a small number of capitalists own the resources of the planet; most people have to work for wages; goods and services are produced for the sake of profit.

Socialism: the resources of the world belong to all the people in common; goods and services are produced to meet human need.

Why did capitalism survive the Great Depression?

All countries, all economies will survive. But what the Depression means to all of us is that we become poorer. That is what it does to us all. It is about a reassesssment of how confident we are about the future: And as you can see right now, yes, it's about as bad as it looks, it doesn't look good. One day the economic sun will shine again. Until then it will be more & more difficult to get credit. And there will be casualties. there will be hardship & people will become poorer & be made homeless. & I am saying, & I am sorry to say we are looking into the abyss right now just like we were then. In the US right now you have a choice to make between Obama & McCain & it is probable that the choice you make in the US probably doesn't matter at all. All that matters is to batten down tha hatches & weather the economic storm that is to come & come out smiling, if you can. The short answer to the question is that I don't know what causes depressions or recovery from them: Experience shows that they are survivable, in time & with luck. But no, I am not saying it is, or will be easy....

Capitalism is an economic system based on?

Ownership of the means of production by a small minority; wages system; production for sale and profit; exploitation

How is capitalism today?

In the United States chiefly. Great Britain and British commonwealth countries (e.g., Australia, Canada, India). Japan. Pretty much the entire industrialized world, except China.

References:

http://www.americansolvent.com/2009/07/03/competition-vs-monopoly-whats-the-big-confusion/

What is a characteristic of capitalism?

Capitalism is natural resources and finished product are privately owned with a market value of the product dictated by a) the demand of the product by the consumer; b) the cost of the manufacture of the product; and c) the profit to the seller. In a truly capitalist society, government does not concern itself in financial affairs of private transactions beyond taxation (ie price regulation or gouging laws).

Is the US a capitalist or socialist country?

Capitalist: production for sale, wages system, minority ownership of the means of production, class division. Socialism has none of these, and there cannot be a mix of capitalism and Socialism.

Who developed the philosophy of capitalism?

No one "developed capitalism." It is an economic system that developed on its own from the earlier agrarian economies to the more industrialized economies. Many economists have analyzed it over time, but no one person developed it.