Definition

1. Noun:
   • An economic system based on private ownership of capital: This system is characterized by private individuals or corporations owning the means of production (like factories, land, and resources) and operating them for profit. Economic decisions, such as what to produce, how to produce it, and for whom, are primarily guided by market forces of supply and demand rather than central planning.

Examples of Usage

• Noun:
  • The transition to capitalism in the 1990s brought significant changes to the country's economy.
  • Critics argue that capitalism can lead to significant income inequality.
  • Many technological innovations have been driven by the competitive nature of capitalism.

Advanced Usage

• "Laissez-faire capitalism": A specific form of capitalism with minimal government intervention in the economy.
  • The era was marked by a belief in laissez-faire capitalism.
• "State capitalism": A system where the state undertakes commercial economic activity and where the means of production are organized and managed as state-owned enterprises.
  • Some analysts describe the country's economic model as a form of state capitalism.
• "Crony capitalism": An economy in which success in business depends on close relationships between business people and government officials.
  • The scandal was seen as a prime example of crony capitalism.

Variants and Related Words

• Capitalist (noun): A person who invests capital in a business, especially one who has a large financial interest in private enterprises.
  • He became a successful capitalist by investing in new industries.
• Capitalist (adjective): Practicing, supporting, or based on the principles of capitalism.
  • The capitalist system encourages entrepreneurship.
• Capitalistic (adjective): Relating to or characterized by capitalism.
  • The reforms led to a more capitalistic economic structure.

Synonyms

• Free enterprise: An economic system in which private business operates in competition and largely free of state control.
• Market economy: An economic system in which production and prices are determined by unrestricted competition between privately owned businesses.
• Private enterprise: Business or industry managed by independent companies or private individuals rather than by the state.

Related Phrases

• "The spirit of capitalism": A concept often referring to the set of values, attitudes, and drives associated with the pursuit of economic success within a capitalist system.
  • His work ethic embodied the spirit of capitalism.
• "Late-stage capitalism": A term sometimes used in critical discourse to describe perceived absurdities or crises in contemporary capitalist economies.
  • The article was a critique of consumerism in late-stage capitalism.

Noun

1. an economic system based on private ownership of capital