What are the problems and benefits associated with capitalism?

[Joshua Farrell]

What are the problems and benefits associated with capitalism?

 

[Chizfab]

Capitalism is beneficial in terms of the ability of private businesses in handling and running the businesses successfully without the usual rots and corruption that has destroyed a lot of government owned businesses. Capitalism is problematic in term of increasing the prices of goods and services that they provide to the public.

 

[FreshKaz11]

What are the problems and benefits associated with capitalism?

The benefits associated with capitalism in business is that it allows the business owner to have his own personal goods and products for the people out there to purchase from he or she I guess.

 

[eLdavis]

I think one major issue with capitalism is the fact that it in most cases there is no stable growth in the economy due to the fact that everything could belong to one person, in other words economic power has been centered on one person

 

[Essy]

In a capitalist economy, the rich rules the poor practically so the problem there would always be the gap between the rich and the poor. The rich would want to keep getting richer and the poor would be finding it difficult to be rich.

 

[Kvngsammy]

Capitalism would always open the way for investors and everyone that's capable to participate in developing and growing businesses. That way, there's a ripple effect on the economy - a lot of businesses would pay tax and even involve in corporate social responsibilities sometimes.
The only downside to this in my view might be the discouraging of local investors who might not have as much power as foreign ones that would come in.

 

[Godspower]

Capitalism promotes competition and actualization of business ideas in a society. However, capitalism promotes uneven distribution of wealth.

 

[Kaffyfolla]

The problem of capitalism are:

• Monopoly power. Private ownership of capital enables firms to gain monopoly power in product and labour markets.
• Monopsony power.
• Social benefit ignored.
• Inherited wealth and wealth inequality.
• Inequality creates social division. ...
• Diminishing marginal utility of wealth.
• Boom and bust cycles.
• 
  
• WHILE
  The advantages of capitalism include: Consumer choice - Individuals choose what to consume, and this choice leads to more competition and better products and services. Efficiency of economics - Goods and services produced based on demand create incentives to cut costs and avoid waste

 

[jeff87]

In a capitalist economy, the rich rules the poor practically so the problem there would always be the gap between the rich and the poor. The rich would want to keep getting richer and the poor would be finding it difficult to be rich.

I agree with you. The problem of capitalism is when the business goes down and the budget or capital for the business is corrupted. There is no solution for that business but to declare bankruptcy. It is good for the business to have a capital and many people could work on it. Just make sure that the business grows steadily so that many people can benefit from it.

 

[Trexxxy]

The problem with capitalism is that the wealth distribution isn't evenly. A sub section of the economy can profit greatly from capitalism while the majority of the working class are poverty stricken.

 

[Shigobad20201]

Capitalism in the business world means every goods and services, business transaction belongs to only one person , and the problems is that the company can go brankrupcy, but the benefit is the the owner is the sole proprietorship and he has the final say on the business.

 

[tyrim88]

One thing about a capitalist system is that,the operation and the control of economic activities are concentrated in the hands of very few individuals in the society and that would not go well for the general populace.

 

[kinqzbitz]

Capitalism has a lot of advantages and disadvantages that has been brought to the notice of people and one of it is that it gives control of properties to selected few and also I widens the gap between the have and the have not

 

[Kane]

If you are intelligent, if you are hardworking, capitalism works for you. You will have the freedom to accumulate wealth and leave a comfortable life. This is a beauty of capitalism.

 

[Syldan]

There are alot of problems associated with capitalism, of which one is exploitation of the majority in favour of few capitalist. the benefits of which include expansion of the economy and free choice of goods and services.

 

[btaliat]

Capitalism has much importance as it encourages innovation and promote hardwork. It is also a bedrock for a vast growing economy. The only problem with it according to Marxism is that it is very exploitative in nature and put profit over humanity.

 

[Good-Person]

One of the biggest drawback of capitalism is monopoly. Capitalism promotes monopolistic nature in business and this may have an effect on inflation in the country.

 

[Justin]

There are problems in capitalism, but I believe capitalism is better than communism. In communism you do not have individual freedom, however, in capitalism you are free to do what ever you want.

 

[btaliat]

There are problems in capitalism, but I believe capitalism is better than communism. In communism you do not have individual freedom, however, in capitalism you are free to do what ever you want.

Communism just like socialism. Though it is bad but it depends on the ideology of the rulers. China is a communist state under and still competing with the United States in term of world power. The only disadvantage of capitalism is just the exploitative nature.

 

[Syldan]

Capitalism is a form of economic situation which allows private ownership of the means of production and distribution of goods and services which guarantee free choice of goods and services.