Name: Shayan Bin Usman

Roll No: 17i-0715

Section: BBA-C
Economic System
“I support capitalism out of all the different economic systems. It is an economy based on free
market resources and firms are privately owned. In a socialist economy, when the government
attempts to control the economy, we end up with problems such as corruption and lack of
incentives for the entrepreneurs. The few elites of the government try to work and make
decisions for their own benefit while the society suffers. A capitalism society boosts up the
productivity in the most efficient way as if they don’t, they will run out of business. Moreover, a
capitalist economy encourages a lot of healthy competition in the society. A capitalist economy
flows with the dynamics of the markets, they bring innovative changes for their survival. A
capitalist economy encourages trades between different nations and people and the economic
incentive break the barriers of differences. Capitalism has contributed to rising living standards
and fall in absolute poverty as they produce what people want. Since China and other countries
of south-east Asia became more ‘capitalist and free market, their economies have grown leading
to a rise in living standards and a fall in levels of poverty.”