Introduction
As American’s we often take for granted many of the liberties and freedoms that are part of our daily lives. We have the opportunity to own property, work at a career we love, afford luxury items such as expensive cars and home theater systems. In American, we see these items as rights and entitles. However, these are liberties that are afforded to us because of the economic system of capitalism.
Capitalist Economy
A capitalist economy is an economy that is mostly made up free markets and can for the most part function without the assistance of the government (Dictionary.com, 2015). There are certainly benefits to this type of economy. For example, Businesses create products and provides services that consumers wants. Some characteristcs …show more content…
People make feel less motivated knowing that they cannot reach certain milestones by creating products or services. In addition, there is little competitive business because they are controlled by the government (Boundless, 2015). An entrepreneur may see a way to create a product or provide a service that is less expensive or has more of a benefit that what is currently being offering but sees no incentive or is discouraged from doing something outside of his or her designated field of …show more content…
Capitalism provides opportunities for the little man to make a big impact on the economic world. However, this could be seen as only furthering or improving the life of one individual. In contrast, a socialist economy looks to ensure the well-being of the community is being taken care of. One economy is guided by the “invisible hand” and individuals (capitalism) and the other is guided by the state
As American’s we often take for granted many of the liberties and freedoms that are part of our daily lives. We have the opportunity to own property, work at a career we love, afford luxury items such as expensive cars and home theater systems. In American, we see these items as rights and entitles. However, these are liberties that are afforded to us because of the economic system of capitalism.
Capitalist Economy
A capitalist economy is an economy that is mostly made up free markets and can for the most part function without the assistance of the government (Dictionary.com, 2015). There are certainly benefits to this type of economy. For example, Businesses create products and provides services that consumers wants. Some characteristcs …show more content…
People make feel less motivated knowing that they cannot reach certain milestones by creating products or services. In addition, there is little competitive business because they are controlled by the government (Boundless, 2015). An entrepreneur may see a way to create a product or provide a service that is less expensive or has more of a benefit that what is currently being offering but sees no incentive or is discouraged from doing something outside of his or her designated field of …show more content…
Capitalism provides opportunities for the little man to make a big impact on the economic world. However, this could be seen as only furthering or improving the life of one individual. In contrast, a socialist economy looks to ensure the well-being of the community is being taken care of. One economy is guided by the “invisible hand” and individuals (capitalism) and the other is guided by the state