Modern Capitalism

Definition

Modern Capitalism refers to an economic system where private entities control trade and industry rather than the state. It's characterized by competition, profit motive, private property rights & wage labor.

Analogy

Consider modern capitalism like a game of Monopoly. Each player (private entity) competes with others to acquire properties (resources). The goal is to maximize profit, and the game's rules (laws of a capitalist society) allow for private ownership.

Related terms

Free Market: An economic system where prices are determined by unrestricted competition between privately owned businesses.

Consumerism: A social and economic order that encourages the acquisition of goods and services in ever-increasing amounts, often associated with capitalism.

Entrepreneurship: The activity of setting up a business or businesses, taking on financial risks in the hope of profit; a key component in modern capitalism.