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What do you think are some of the advantages and disadvantages of a capitalist economic system? Do you feel that the advantages outweigh the disadvantages? Why or why not?

User Lissa
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1. Advantages: Economy, which is defined as the wealth and resources of a region, can be grouped into two types: formal and informal. Capitalism and socialism are formal economies that differ based on the role of the government and equality of economics. Capitalism affords economic freedom, consumer choice, and economic growth.

2. Main Characteristics of Capitalism: Right to own property; Profit motive; Private ownership of means of production; Consumer’s sovereignty; Economic freedom; Social division of people; and Price mechanism.

3.
Disadvantages of Capitalism: Inequality in the distribution of national wealth; Fluctuations in the level of employment; Class conflicts; Waste of talents; Heavy expenses on publicity result into increase in cost and price of the commodity.

4. Your opinion will affect your answer after reading these above points.
User Jotne
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