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RUDIKE [14]
3 years ago
14

What has been the overall effect of capitalism (free market enterprise) on American democracy?

Social Studies
1 answer:
pantera1 [17]3 years ago
7 0

In many ways, the two notions are at odds. Or, at least, mild conflict.

Free Market Capitalism is an economic system understands that some will succeed and others will not. People will be rewarded for their ingenuity and market acumen and bad ideas will be disregarded and rejected.

American Democracy (Democratic-Republic) is defined by citizens banding together to solve common problems, while reserving the right of private property and concepts of liberty.

So, as free market capitalism has expanded in periods of history, Democracy has often taken a hit. As collective Democratic ideals have expanded, free market ideals have declined.

The New Deal is common understood as a retraction of the free market and the expansion of American collective Democracy. We are currently in a period of struggle between free market capitalism and strong collective Democracy. Only time will tell which concept will prevail.

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