Taking a Look at Capitalism

581 WordsFeb 21, 20182 Pages
Capitalism is an economic system where goods and services are created for profit using privately owned goods and wage labor. The owners of these capital goods will employ wage labor to generate commodities with the aim of acquiring a personal profit. The owners, or the designated managers of these owners, make the majority of the business decisions and receive profit and other property revenue, including rent, interest, and dividends. Capitalism usually yields significant economic growth and inequality. Capitalism's foundational manifesto is usually accreditted to be Adam Smith's 1776 book Inquiry into the Nature and Causes of the Wealth of Nations, even though Smith based his work on mostly older concepts. It has in actuality been the dominant economic system in certain places of Europe since the 1600s. A naturally expansionary system from its earliest years, capitalism has infiltrated into most countries in the world. It has grown very unevenly; in some places it has been a strong instrument of growth and industrialization—as in the majority of Europe, the United States, and Japan—but has, on the other hand, left other places of the world struggling financially and underdeveloped. Wherever capitalism has been implemented thoroughly, it has been and remains to be a powerful system for both positive and negative results. Globalization, the product of the fast-rising movement of capital all over the world, offers opportunities for large and expanded profits and low-cost goods

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