Thursday, March 31, 2011

Capitalism

Definition:
1.Capitalism is an economic system for increasing individual wealth, requiring a relatively free market, open competition, the profit motive, and at least some private ownership of the means of production. (Found in TextBook)
2.Capitalism is an economic and social system in which capital and land, the non-labor factors of production (also known as the means of production), are privately owned; labor, goods and resources are traded in markets; and profit, after taxes, is distributed to the owners or invested in ... (en.wikipedia.org/wiki/Capitalism )
Explanation:
Capitalism is to me when all of the profit that the person makes they take home on how much hours. Individuals have the right to private property and to use it to make money. People naturally compete to gain the most for them selves(humans are essentially greedy) (Found on WorkSheet)
Metaphor:
A basketball team getting paid individually on how hard they play and how often they go on the court. Instead of them getting paid a regular amount.

1 comment:

  1. Remember that Capitalism was an economic system that challenged the Divine Rights of Kings in the old mercantilist system. In mercantilism, wealth was held by the King and the Aristocrats. Adam Smith challenged this system by suggesting that INDIVIDUALS should be free to accumulate their own wealth.

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