Capitalism - SS1 Government Lesson Note

Capitalism is an economic system where individuals or private companies own and control the means of production and trade goods and services for profit. In a capitalist system, prices are determined by supply and demand, and the market decides what goods and services are produced, how they are produced, and who can access them.

Capitalism encourages entrepreneurship, competition, and innovation, which can lead to economic growth and development. However, it also has some drawbacks, such as income inequality and environmental degradation, which can negatively impact society as a whole.