Capitalism is often thought of as an economic system in which private actors own and control property in accord with their interests, and demand and supply freely set prices in markets in a way that can serve the best interests of society. The essential feature of capitalism is the motive to make a profit.
One of the examples of capitalism has been the creation of mega-corporations owned by a set of private individuals and institutions. Minimal government intervention and protection of private property rights have enabled the creation of humongous companies.
This data is a great starting point to look at the top examples of capitalism.
Jun 27, 2019
Capitalism is the greatest economic system because it has numerous benefits and creates multiple opportunities for individuals in society. Some of these benefits include producing wealth and innovation, improving the lives of individuals, and giving power to the people.
The United States is arguably the most well-known country with a capitalist economy, which many citizens see as an essential part of democracy and building the "American Dream." Capitalism also taps into the American spirit, being a more "free" market when compared to the more government-controlled alternatives.
By assuming the autonomy of the individual, capitalism grants dignity to the poor. By affirming people's right to their own labor, regardless of their position on the economic ladder, capitalism offers the poor the means to improve their own well-being.
One of the biggest benefits of capitalism is healthy competition. Competition makes everyone better. When companies compete for business, they're forced to provide a better variety of services or expanded services and give better customer service. Competition encourages growth.
China and India have made the most progress in the pursuit to alleviate poverty after they began moving toward capitalism. Since the 1980s, these countries have abandoned central government planning, instead expanding and liberalizing trade in global markets, which improved economic conditions.
While an imperfect system, capitalism remains our most effective weapon in fighting extreme poverty. As we've seen across continents, the freer an economy becomes, the less likely its people are to become entrapped in extreme poverty.
Top 10 Capitalism Pros & Cons – Summary List
|Capitalism Pros||Capitalism Cons|
|Fewer frictions in an economy||Bad for low-skilled workers|
|Higher level of freedom through capitalism||Promotes unequal chances in life|
|May lead to lower prices||Higher rents|
|Capitalism may lead to better product quality||Higher property prices|
Capitalism is based on individual initiative and favors market mechanisms over government intervention, while socialism is based on government planning and limitations on private control of resources.
The CCP maintains that despite the co-existence of private capitalists and entrepreneurs with public and collective enterprise, China is not a capitalist country because the party retains control over the direction of the country, maintaining its course of socialist development.
The U.S. is a mixed economy, exhibiting characteristics of both capitalism and socialism. Such a mixed economy embraces economic freedom when it comes to capital use, but it also allows for government intervention for the public good.
Its forecast says that China, now the world's second-largest economy, would overtake the No. 1-ranked U.S. economy by 2030.
|People's Republic of China||1 October 1949||Communist Party of China|
|Republic of Cuba||16 April 1961||Communist Party of Cuba|
|Lao People's Democratic Republic||2 December 1975||Lao People's Revolutionary Party|
|Socialist Republic of Vietnam||2 September 1945||Communist Party of Vietnam|
Canada is a capitalist country. Its economy is largely driven by private enterprise and the free market, including the laws of supply and demand.
The main difference is that under communism, most property and economic resources are owned and controlled by the state (rather than individual citizens); under socialism, all citizens share equally in economic resources as allocated by a democratically-elected government.
Socialism in Canada has a long history and along with conservatism and liberalism is a political force in Canada. In its early days, Canada's socialist movement gained momentum in Western Canada. The Socialist Labor Party was formed in 1898 in Vancouver.
Mexico is not a socialist country, but rather employs a free market, capitalist economic system.
Canada has been a monarchy for centuries - first under the kings of France in the sixteenth, seventeenth and eighteenth centuries, then under the British Crown in the eighteenth and nineteenth centuries, and now as a kingdom in her own right.
Cuba has had a socialist political system since 1959 based on the "one state – one party" principle. Cuba is constitutionally defined as a Marxist–Leninist socialist state guided in part by the political ideas of Karl Marx, one of the fathers of historical materialism, Friedrich Engels, and Vladimir Lenin.