Capitalism
Capitalism is an economic system started in the 18th century characterized by the right of the private property.The captalism arose after the first Industrial Revolution. The ideology spread was “profit at any cost” The exchange of wealth is cordinated by private corporations. The origin of the term Capitalism was in
Karl Marx’s ,
Das Kapital.
1. History:
Economists in the early 18th century declared that one state could only expand its wealth at the cost of another state. The
Industrial revolution gave the opportunity for the accumulation of vast amounts of capital, which marked the development of the manufactures and implementation of a complex labor division. The industrialism replaced the merchant as a monopoly in the capitalist system and decline of the traditional handicraft skills of artisans.
2. Main influences:
2.1 Politics:
In the
capitalist system, the governments are not supposed to have participation in the economy, and any kind of intervention in the economic system. This economic system also stated the free-market, which prevents a company’s monopoly. And since the competiton is supposed to be very high, the products qualities and prices should also be increased a lot.
2.2 Environment.
The capitalist system has influenced a lot in the environment. Since it is a production-based system, right after the Industrial Revolution, tons of charcoal and petrol are burnt, releasing CO² in the atmosphere. They are used because of their high-energy generation, even though they are not
renewable resources.
This daily emission of CO² is the main contributor to the
global warming. The USA is the country with the biggest CO² rate (24%), while having only 4,6% of the World Population.
3. References
4. For further reading:
The Capital – Karl Marx
Adam Smith -
The Wealth of Nations
Industrial Revolution
Anarcho Capitalism