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algol13
3 years ago
13

This policy emphasizes the selling off or privatization of state owned industry and dramatic shifts toward a democratic regime.

What is it?
History
1 answer:
Margaret [11]3 years ago
3 0

Answer:

Capitalism emphasizes the selling off or privatization of state owned industry and dramatic shifts toward a democratic regime.

Explanation:

Capitalism is an economic system in which capital and factors of production are property, that is, owned and controlled by private actors. Production factors, such as natural resources / raw materials, real capital and in some cases also the labor force, as well as production's sales in the form of goods and services, are bought and sold in markets according to the consent of producers and consumers.

However, capitalism is distinguished from market economics: the term capitalism denotes the social relationship in ownership, while market economy is about how resources are controlled and supply and demand affect price formation. Usually these concepts occur in parallel with each other, although other combinations of forms of ownership and economic systems exist (for example, market socialism and capitalist planning economics).

What sets capitalism apart from earlier economic systems is that the surplus in society is spent on increasing productivity rather than economically unproductive projects such as building cathedrals or pyramids. Most Western societies apply some form of capitalism - often regulated by legislation and trade union agreements. The development led to the emergence of mixed economies as well as welfare states and welfare capitalist societies. In mixed economies, privately owned companies are combined with a large public sector, and the market-controlled economy is combined with public planning.

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