Question

Which of these actions reflects the philosophy of capitalism?

Answer 1

The correct answer to this question is D) A politician demands that the government eliminate regulations on how much pollution a business can create.

The action that supports the philosophy of capitalism is "A politician demands that the government eliminate regulations on how much pollution a business can create."

Capitalism is an economic system that is opposed to Socialism. In Capitalism, there is little intervention of the government in the means of production. Government is just there to regulate some aspects that facilitate the free market. In Capitalism, competition is healthy between businesses to benefit consumers. Companies want to make some money and its motivation is driven by profit. In this system, workers can get benefits such as bonus and incentives.