ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -This is called a market economy. The economy is controlled by individual people, not by the government. The United States is a capitalist, market economy.

Detailed explanation-2: -There are many different types of economic systems used throughout the world. Some examples are socialism, communism, and capitalism. The United States has a capitalistic system.

Detailed explanation-3: -The United States is often seen as having a democratic capitalist political-economic system. Democratic capitalism, also known as capitalist democracy, is a political, economic, and social system and ideology based on a tripartite arrangement of a market-based economy that is based predominantly on a democratic polity.

Detailed explanation-4: -In the United States, capitalism has always been the prevailing system. It is defined as an economic system in which private individuals or businesses, rather than the government, own and control the factors of production: entrepreneurship, capital goods, natural resources, and labor.

Detailed explanation-5: -Key Takeaways. The U.S. has a mixed economy, exhibiting characteristics of both capitalism and socialism. Such a mixed economy embraces the free market when it comes to capital use, but it also allows for government intervention for the public good.