SSC MTS EXAM

Detailed explanation-1: -Capitalism is an economic system based on the private ownership of the means of production and their operation for profit. Central characteristics of capitalism include capital accumulation, competitive markets, a price system, private property and the recognition of property rights, voluntary exchange, and wage labor.

Detailed explanation-2: -Socialism and communism both favor public ownership of property rather than private ownership. In a communist economy, the state controls all of the factors of production. In a socialist economy, the government only controls some of the factors of production.

Detailed explanation-3: -A capitalist economy is a type of free market economy; the profit motive drives all commerce and forces businesses to operate as efficiently as possible to avoid losing market share to competitors.