If the United States government were to regulate its financial structures, including banks and businesses, which of the followin
g criteria of a capitalist economy would it violate? A. Consumer interests affect capitalism. B. Prices and wages are set by supply and demand. C. Privately owned resources are used to make a profit. D. Government involvement in businesses and markets must be limited.If the United States government were to regulate its financial structures, including banks and businesses, which of the following criteria of a capitalist economy would it violate? A. Consumer interests affect capitalism. B. Prices and wages are set by supply and demand. C. Privately owned resources are used to make a profit. D. Government involvement in businesses and markets must be limited.
Capitalism is a political philosophy that believes in "laissez-faire" economy. This means that the government should abstain from getting involved in businesses. These entities should always be run by private parties who search to be profitable by operating them. Government involvement will probably end up in subsidies that aim to aid ineffective participants in the market. This is proven to harm the economy in the middle term, these sectors won't be able to thrive against foreign competition.
A pure market economy, or capitalist economic system is characterized by zero goverment intervention in the economy. Instead, markets are allowed to freely fluctuate, and the interactions between the economic agents (households, firms and public sector) determine the prices and the output in both product and factor markets.
Therefore, if <u>the US authorities intend to control banks and businesses, such action is violating the "zero interventionism" principle and the </u><u><em>laissez-faire</em></u><u> approach</u>, hence the main criteria of capitalism.
In an absolute monarchy, the ruler has no limits on their wishes or powers. ... These people may spread power equally or not equally. An oligarchy is different from a true democracy because very few people are given the chance to change things. An oligarchy does not have to be hereditary or monarchic.
There are four reasons as to why. They are: 1. The invasion forced Germany to surrender. 2. The invasion ended German ambitions to invade the United States. 3. The invasion was key in forcing the Germans to retreat east. and finally 4. The invasion exhausted German supplies and weakened their defenses.
