Investment decisions are made by the individual or corporation rather than by the government.
The production, distribution, and prices of goods and services are determined by competition in a free market.
The government intervenes only when necessary to protect the public interest.
The U.S.system of government is founded on the principle of individual freedom.
Capitalism is the predominant economic system under which the Americaneconomy operates.
Other governments place the importance of the collective (all the people ) above the individual.
This emphasis on the collective permitted the emergence of economic systems that are alternatives to capitalism.
Socialism- Under socialism, the most important industries and services are publicly and cooperatively owned.
These industries,which may include steel production banking and finance public transportation
or health care are controlled by the government with the Internet of providing equal opportunity for all.
In socialist economies, ownership of private property is permitted; however owners of businesses together with the government decide what goods and services are produced.
How are they produced and who should get them the economy of Sweden has asocialist economy.
Communism- A third economic, order does not permit private ownership of property and the means of production at all.
Under communism the government, described as the community owns the property and distributes the society’s merchandise in accordance with the “common goods”.
The government decides what goods and services are produced and who should get them.
The economies of the People’s Republic of china and Cuba operate under the principles of communism as did the economy of the former Soviet Union.
None of these three economic systems exists in pure form,and
That there is no completely capitalist, socialist, or communist economy exists in the modern world.
In it’s operation each of the economic systems incorporates some aspects of another.
The term mixed economy, is used to describe the U.s.Economy sine some government regulation of private enterprise exists.
For example the food and drug administration ensures that any new medicine or drug that is marked in the United States has been properly tested before it is sold to the public.
The U.S. government becomes involved in situations in which there could be harm to your health and safety of it’s citizens.
Communism was seen as a threat to western democracies and capitalism for most of the 20th century.
Small fact- after Communism Communist states such as the Soviet Union, become Industrial and Technological power state challenging the capitalists’ powers in the Arms race and the space race that change the 20th century, with the first person in space.