ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -capitalism, also called free market economy or free enterprise economy, economic system, dominant in the Western world since the breakup of feudalism, in which most means of production are privately owned and production is guided and income distributed largely through the operation of markets.

Detailed explanation-2: -There are three main types of economic systems: command, market, and mixed. We will briefly describe each of these three types.

Detailed explanation-3: -Market economy ("hands off” systems, such as laissez-faire capitalism) Mixed economy (a hybrid that blends some aspects of both market and planned economies) Planned economy ("hands on” systems, such as state socialism, also known as “command economy” when referring to the Soviet model)

Detailed explanation-4: -Entrepreneurs are free to produce goods and services and sell them at a price they choose. Sellers are free to sell in markets of their choice. Consumers are free to buy any goods and services they choose. Workers are free to work wherever they choose.

Detailed explanation-5: -Rankings of economic freedom vary depending on who is doing the ranking, but some economies generally considered free-market include: Hong Kong, Singapore, New Zealand, Australia, Switzerland, the United Kingdom, Canada, and Ireland.