Assignment #6- Capitalism Synopsis

Capitalism is an economical system, where goods and services are traded. This particular system revolves around three main aspects: land, labor, and capitalism. In capitalism, the term "land" represents all the raw material required to make a product. The "labor" involved is all the work that is needed to make the actual product, this includes the physical production and the process of forming the idea. And finally, the "capital" would be everything that combines the two (land and labor) in order to make them a product in the free market. The reasoning for having capitalism is profit motive, which is the ability to obtain ownership of wealth without government interference. This is also known as the Invisible Hand.

As shown as the dominant view of Capitalism, it appears that Capitalism is a positive system. While the Capitalism is employing many people around the world, it also aids society and the advancement of technology . The Invisible Hand, which is a result of capitalism, guides the people to create better products through their own self-interest of making money.It also causes the market to provide better products at a lower price. By the Invisible Hand creating competition, each individual company within one market attempts to make them the more favorable company. Therefore they lower their prices or improve their products in order to separate themselves from the other companies. Another positive aspect of Capitalism is the opportunity to make money and rise to the top. It gives people the incentive to work their hardest for the chance of increasing their social class. This also adds onto the advancement of society. Capitalism creates the illusion of having equal chances of obtaining wealth. Meanwhile, it uses that illusion and the self-interest of the people in order to create convenience and improvements within a society.