Question

In about 150 words, discuss how the economic freedoms of capitalism lead to improved societal conditions when compared with conditions of socialistic countries.

Answer 1

Members of a society to undertake economic actions. This is a term used in economic and policy debates as well as in the philosophy of economics. One approach to economic freedom comes from classical liberal and libertarian traditions emphasizing free markets, free trade, and private property under free enterprise. Those philosophers and economists who advocate an economic system based on private property and free markets--or what one might call economic freedom. The free market viewpoint defines economic liberty as the freedom to produce, trade and consume any goods services acquired without the use of force.

Answer 2

In a capitalist system, consumers make their own choice. This free choice leads to competition and innovation as firms struggle to make better products. Also, demand for goods creates an incentive for firms to become more productive and efficient. This benefits the consumers unlike in a socialist system where there is less incentive for entrepreneurship due to less rewards for innovation.