Capitalism Is An Economic And Political System

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Capitalism is an economic and political system in which a country 's trade and industry are controlled by private owners for profit, rather than by the state. This leads to the constant competition within companies to make more profit. There are three characteristics of capitalism: Goods and services are privately held, limited government intervention, and prices are determined by supply and demand [Farrell 2015]. Due to capitalism companies are forced to make questionable decisions in order to stay ahead of their competition. The goal of these choices are to make more money and spend less of it. This often involves laying off workers because they often change their form of manufacturing, or relocating to another country for cheaper labor costs. These decisions can go on to affect their employees and the community in ways that they would never imagine. In the film Roger and Me, Director Michael Moore witnessed how the effects of capitalism ran a booming city into the ground. Flint, Michigan was the home of eleven successful General Motors factories that employed a lot of the city and made the city a lot of money. While the factory was thriving Roger Smith, the CEO of GM at the time decided to close all eleven of the Flint factories in order to open up new factories south of the border in Mexico. When the factories went on to close it resulted in a loss of eleven-thousand jobs, and the morale of the city. Considering General Motors employed the majority of Flint with
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