CAPITALISM

SUBMITTED BY:-

SHALLY HUNDAL

CMBA5

CAPITALISM DEFINATION:

Capitalism is an economic system and a mode of production in which trade, industries, and the means of production are largely or entirely privately owned and operated for profit.

CAPITALISM

IT IS AN ECONOMIC SYSTEM BASED ON 3 THINGS:

• WAGE LABOUR

• PRIVATE OWNERSHIP• PRODUCTION FOR

EXCHANGE AND

PROFIT

CAPITALISM

CAPITALISM IS BASED ON A SIMPLE PROCESS –

MONEY IS INVESTED TO GENERATE MORE MONEY.

CAPITALISM

CAPITAL:• WHEN MONEY FUNCTIONS LIKE

THIS, IT FUNCTIONS LIKE CAPITAL.

EG: WHEN COMPANY USES ITS PROFIT TO HIRE MORE STAFF OR OPEN NEW PREMISES AND MAKE MORE PROFIT.

CAPITALISM

FEATURES OF CAPITALISM:• PRIVATE PROPERTY: NOT OWNED

BY THE GOVERNMENT.

INDIVIDUALS OWN PROPERTY AND RESOURCES.

CAPITALISM

• LARGE SCALE PRODUCTION::

CAPITALISM AROSE AS A RESULT OF INDUSTRIAL REVOLUTION WHICH MADE LARGE SCALE PRODUCTION POSSIBLE. MORE PRODUCTION MEANS WIDER USE OF CAPITAL AND LEAD TO MORE PROFITS.

CAPITALISM

• PROFIT AS KEY MOTIVE:

MONEY LEFT OVER CAN BE SPENT IN ANY WAY THE MANUFACTURER WANTS.

PRODUCTION UNDER CAPITALISM IS PROFIT-ORIENTED.

CAPITALISM

• COMPETITION:

IN CAPITALISM THERE IS

EXTREME COMPETITION

BETWEEN CAPITALISTS.

DEMAND IS ARTIFICIALLY INCREASED AND SUPPLY IS DECREASED. THERE IS CUT THROAT COMPETITION UNDER CAPITALISM.

CAPITALISM

• PRICE MECHANISM:

IN CAPITALISM THE PRICE OF A ACCOMODITY IS DETERMINED NOT BY THE COST OF PRODUCTION BUT BY THE LAW OF DEMAND AND SUPPLY.

CAPITALISM

WAGE INSTITUTION:

THE OBJECTIVE OF THE CAPITALIST IS TO PAY AS LESS WAGES AS POSSIBLE AND TO TAKE AS MUCH WORK AS POSSIBLE OUT OF HIM.

CAPITALISM

• MONEY AND CREDIT:

IN CAPITALISM INSTITUTION OF CREDIT HAS BECOME IMPORTANT.HE CAPITALISTS GET MONEY ON LOAN AND DEVELOP THEIR BUSINESS.

CAPITALISM

• LAISSEZ – FAIRE COPETITION:

THERE IS NO GOVERNMENTAL CONTROL OVER THE FORCES OF PRODUCTION, DISTRIBUTION AND EXCHANGE. IT IS CONTROLLED BY THE FORCES OPERATING

IN MARKET.

CAPITALISM

• RESPONSIBLE CAPITALISM:

IT IS ESSENTIALLY A FREE MARKET ECONOMY. BUT WITH A DEGREE OF GOVERNMENT REGULATION TO AVID THE EXCESSES AND INEQUALITIES OF CAPITALISM.

CAPITALISM

• TURBO CAPITALISM:

REFERS TO AN UNREGULATED FORM OF CAPITALISM WITH FINANCIAL DEREGULATION , PRIVATISATION AND LOWER TAX ON HIGH EARNER.

CAPITALISM

• CRONY CAPITALISM:

A TERM USED TO REFER TO THE SITUATION WHERE BUSINESS SUCCESS IS RELATED TO STRATEGIC INFLUENCES WITH CIVIL SERVANTS, POLITICIANS AND THOSE IN AUTHORITY.

CAPITALISM

• STATE CAPITALISM

IT OCCURS WHEN STATE OWNED INDUSTRIES PLAY A KEY ROLE WITHIN THE MARKET ECONOMY.

CAPITALISM

PROS OF CAPITALISM:• HEALTH• SOCIAL GOOD• BEING THE BEST• FREEDOM• ECONOMIC GROWTH• EQUALITY

CAPITALISM

CONS OF CAPITALISM:• WASTE• STARVATION• DANGER• PROPAGANDA• POLLUTION

CAPITALISM

FUTURE OF CAPITALISM:

CAPITALISM HAS ONLY EXISTED AS DOMINANT ECONOMIC SYSTEM ON PLANET FOR A LITTLE OVER 200 YEARS.

CAPITALISM

IT IS ENTIRELY RELIANT ON US, THE WORKING CLASS AND LABOUR WHICH IS MUST EXPLOIT AND SO IT WILL SURVIVE AS LONG AS WE LET

CAPTAINS OF CAPITALISM

ANDREW JP MORGAN JHON D.ROCKEFELLER

THANK YOU