TAPAR, CHRISTIAN A.

BS ARCH

Capitalism
Capitalism is an economic system where private entities own the factors of production. The four
factors are entrepreneurship, capital goods, natural resources, and labor. The owners of capital goods,
natural resources, and entrepreneurship exercise control through companies. The individual owns their
labor. The only exception is slavery, where someone else owns a person's labor. Although illegal
throughout the entire world, slavery is still widely practice

Capitalism advantages results in the best products for the best prices. That's because consumers
will pay more for what they want the most. Businesses provide what customers want at the highest
prices they’ll pay. Prices are kept low by competition among businesses. They make their products
as efficient as possible to maximize profit. Capitalism disadvantages it doesn't provide for those who lack
competitive skills. This includes the elderly, children, the developmentally disabled, and caretakers. To
keep society functioning, capitalism requires government policies that value the family unit.

The kind of impact that capitalism has on your life depends on whether you’re a worker or a
boss. For someone who owns a company and employs other workers, capitalism may make sense: The
more profits your company brings in, the more resources you have to share with your workers, which
theoretically improves everyone’s standard of living. It’s all based on the principle of supply and
demand, and in capitalism, consumption is king. The problem is that many capitalist bosses aren’t great
at sharing the wealth, which is why one of the major critiques of capitalism is that it is a huge driver of
inequality, both social and economic.

Capitalism takes the position that “greed is good,” which its supporters say is a positive thing
greed drives profits and profits drive innovation and product development, which means there are more
choices available for those who can afford them. Its opponents say that capitalism is, by nature, unfair,
and leads to a brutally divided society that crushes the working classes in favor of fattening the rich’s
wallets