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SIZIF [17.4K]
3 years ago
9

Compare and contrast capitalist and socialist economies. use examples to illustrate your ideas

History
1 answer:
Mashutka [201]3 years ago
6 0
So capitalism has the tendency to allow free trade. Corporations get more power and pay less taxes.
In a socialist economy the economy is controlled by the country. There are corporations but they have to pay more taxes, they can only import or export a certain amount of wares. There are more public institutions in socialist countries whereas institutions tend to be private in capitalist countries.

Let me make an example: Tunisia has a socialist economy because every barber has to charge you 4$ for their job. No more, no less^^ Why? Because the country decides how much a barber should charge. That means there is less competition and every barber gets paid equally for their job.


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