Answer:
Capitalism and socialism are formal economies. The major differences between capitalism and socialism revolve around the role of the government and equality of economics. Capitalism affords economic freedom, consumer choice, and economic growth.
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Prior to the conflict between Britain and its North American colonies, the colonies were able to manage majority of its own affairs without Britain's interference. However, when Britain started implementing stricter measures on their colonies' trade and other affairs, the colonies didn't like it. This started the tension between both parties.
