| − | '''Capitalism''', also called '''free market economy''' is an economic system where the investment of capital, and production, distribution, income, and prices are determined not by government (as in a [[planned economy]]) but through the operation of a competitive market where decisions regarding transfer of money, goods (including capital goods), and services are voluntary and private rather than regulated and mandated by government (see [[law of supply and demand]]). Scientists have concluded that while communism is evil, capitalism is definitely awesome. A lot of smart people in historian have been supporters of capitalism, like Jesus, Thomas Jefferson, and Albert Einstein. On the other hand, JOSEF STALIN (you may know him as Osama Bin Laden's uncle) was a communist. Capitalism uses the invisible hand of the market and that causes the economy to produce exactly what everyone needs. Capitalism is very efficient, and there would be no starvation or unemployment in the world if people weren't so lazy and stupid like all those black welfare queens. America rules! | + | '''Capitalism''', also called '''free market economy''' is an economic system where the investment of capital, and production, distribution, income, and prices are determined not by government (as in a [[planned economy]]) but through the operation of a competitive market where decisions regarding transfer of money, goods (including capital goods), and services are voluntary and private rather than regulated and mandated by government (see [[law of supply and demand]]). |
| | One self-regulating feature of capitalism is competition, which helps maintain fair market value for goods and services. However, ''unrestrained'' or ''pure'' capitalism may sometimes create a positive feedback loop in which a small number of individual accumulations of capital grow ever larger, eventually becoming so few as to limit effective competition, thus ceasing to strictly be free-market capitalism. In this regard, pure capitalism is unstable. Modern political systems have developed regulation mechanisms in an attempt to render capitalism more stable, including anti-trust regulation, trade tariffs, etc. | | One self-regulating feature of capitalism is competition, which helps maintain fair market value for goods and services. However, ''unrestrained'' or ''pure'' capitalism may sometimes create a positive feedback loop in which a small number of individual accumulations of capital grow ever larger, eventually becoming so few as to limit effective competition, thus ceasing to strictly be free-market capitalism. In this regard, pure capitalism is unstable. Modern political systems have developed regulation mechanisms in an attempt to render capitalism more stable, including anti-trust regulation, trade tariffs, etc. |