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Briefly describe how and why the role of the government differs in mercantilist, capitalist, and socialist economic systems. Be sure that your response considers the level of government control as well as the overall goal of each economic system.

User Msporek
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Mercantilism- This refers to an economic system in which one country controls the economic policies of another country/territory. The goal in this system is to make the stronger country (aka mother country) wealthy. This system involves a significant amount of government interference, as all the policies in the territory being controlled are made by the mother country.

Capitalism- This economic system revolves around the idea of little government interference in the economy. Instead, this system relies on competition between businesses as a means of regulating behavior. Ultimately this system is meant to make the consumer and producers happy.

Socialism- This economic system revolves around the government planning the economy. In a perfect socialist society, the government would control how many products a company would make, how many resources a family has, etc. The goal of this system is economic equality for all.
User Isarathg
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