Capitalism
/ˈkæpɪtəlɪzəm/
Definitions
An economic system characterized by private or corporate ownership of the means of production, distribution, and exchange, motivated by profit.
/ˈkæpɪtəlɪzəm/
Economic system based on private ownership
Capitalism is often contrasted with socialism and communism.
💡 Simply: A way of running an economy where businesses are owned by people, not the government, and aim to make money.
More Examples
The free market is a key feature of capitalism.
How It's Used
"The rise of capitalism led to significant economic growth."
"Many debates center around the merits and demerits of capitalism versus socialism."
From French capitalisme (19th century), from capital (meaning 'capital' or 'wealth'), ultimately from Latin caput ('head'). The word developed in the 19th century to describe the economic system characterized by private ownership of the means of production and their operation for profit.
The term 'capitalism' emerged in the 19th century, coinciding with the Industrial Revolution and the rise of industrial economies.
Memory tip
Capital (money) + ism (system) = Capitalism (a system based on capital)