In a capitalist economy, capital assets—such as factories, mines, and railroads—can be privately owned and controlled, labor is purchased for money wages, capital gains accrue to private owners, and prices allocate capital and labor between competing uses (see “Supply and Demand”).
The capitalist economy refers to an economic environment characterized by competition, property ownership, and free enterprise systems
The idea behind capitalism is that the free market of products and ideas is owned and driven by private citizens. A capitalist society is a social order in which private property rights and the free market serve as the basis of trade, distribution of goods, and development.