1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
marusya05 [52]
4 years ago
10

how does the government promote economic growth in capitalist countries and those transitioning to capitalism?

History
1 answer:
alexandr1967 [171]4 years ago
8 0

In capitalist countries (and those transitioning to capitalism), overt or direct government control of the economy is avoided. Instead, the government seeks to provide the infrastructure and security/stability needed in order for business interests to flourish and the economy to grow.

Direct government control of the economy was the pattern of "mercantilism," which was dominant prior to the rise of capitalism.  According to Adam Smith, one of the founding theorists of capitalism, mercantilism was bad because the government tried to regulate and control commerce too much. Smith, along with French economic theorists known "physiocrats" (wanting to let "nature rule"), advocated a "laissez-faire" approach to commerce and industry, letting businesses run themselves in competition in a free market.

However, for that free market to flourish, governments will do their part by providing infrastructure -- roads, ports, etc.  Governments also will ensure the stability and security needed for businesses to operate safely and consistently.  So governments will enact laws affirming rights and fairness in business contracts and enforce those laws, and also provide national security within their lands so that economic growth can flourish due to peaceful circumstances.  (Warfare causes great disruption to economies.)

You might be interested in
Religious texts created by the Catholic Church helped preserve which language during the Middle Ages of Europe?
Gennadij [26K]

Answer:

Latin

Explanation:

Hope this helps! Have a good day!

7 0
3 years ago
Which of the following are effects of the philosophy of Manifest Destiny?
NikAS [45]

Answer:

I.

Explanation:

Reason: "Manifest Destiny, a phrase coined in 1845, is the idea that the United States is destined—by God, its advocates believed—to expand its dominion and spread democracy and capitalism across the entire North American continent. The philosophy drove 19th-century U.S. territorial expansion and was used to justify the forced removal of Native Americans and other groups from their homes. The rapid expansion of the United States intensified the issue of slavery as new states were added to the Union, leading to the outbreak of the Civil War"

Source: HISTORY (channel)

4 0
3 years ago
Why is trusting only one source a problem?
labwork [276]
Different interpretations
6 0
3 years ago
What was one of the outcomes of Shays’ Rebellion?
Umnica [9.8K]

Answer:

Rebellion crushed, and problems of Federal authority linked to the Articles of Confederation spur U.S. Constitutional Convention

Explanation:

7 0
3 years ago
Read 2 more answers
Overall, what was the impact of new military technologies including the repeater rifle, submarines like the Hunley and Ironclads
suter [353]
I think c is the answer
8 0
3 years ago
Other questions:
  • When did U.A.E got it's independence?
    14·2 answers
  • The attack on pearl harbor destroyed the entire u.s. pacific fleet. <br> a. true <br> b. false
    7·2 answers
  • Which term is used to describe a fertilized egg?
    7·2 answers
  • Cuba, Puerto Rico, the Bahamas, and Jamaica are part of the "Blank" islands
    13·1 answer
  • Rutherford B. Hayes kept the army stationed in Southern states to keep order and
    6·2 answers
  • What is the federal amendment process
    9·2 answers
  • What were three crops grown in the South
    14·1 answer
  • What does the cartoon reveal about the limitations of the states’ power?
    8·1 answer
  • Write a letter to anyone describing how the weather differs between East and West Texas. Consider the following:
    7·1 answer
  • The ilkhanate of the mongol empire was a state that was established in:.
    11·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!