Which nations are capitalist

Americans are said to be moved by their fear of failure and their greed for monetary success. Capitalism allows private ownership to spur production of goods and allows the private owner to keep and track profits for what sells.

This allows exclusive rights and patents to the production of modern technology and boosts the social economy. Groups within industries shape the model for success in agriculture, commerce, service industries, technology and other industries. There are allowances for monopolies in financing, international trade, commodities, banking, insurance and commerce.

Some of these monopolies are family run companies which are leaders in their industries and who have good will in the community which breeds loyalty for their products and services among competitive markets and the masses. China has focused in the last fifty yearscapi on educating the masses and the effort has paid off. China is placing a priority on the development of its human capital and offers it workers more on the dollar to produce goods for export.

China reformed its economy and began to see economic growth as a result the GDP doubled and the government allowed a pro-business and market attitude to rule in the country as a whole.

China focused on exporting goods and developed a new economy as a result. Its new focus on manufactured products created over a hundred million jobs for the Chinese which supported capitalism in the country and offered a higher quality of life for the residents. China is also a large global exporter, along with Germany and the United States.

But is China really a capitalistic country? In a way, yes. The Chinese government allows entrepreneurship as long as it is done with the permission of the government. Indian children running with their national flag image CC BY 2. India is beginning to realize its potential economically as it encourages capitalism throughout the country.

The infrastructure is limited by the human capital available to take jobs offered by the companies poised to hire qualified candidates as corporations globally look to India for offshore needs call center and telemarketing, etc. The Indian government realizes the potential of capitalistic growth as it struggles to overcome an outdated caste system. India has a problem with its distribution of income and access to free markets, since many of its residents are poor and have no way out of poverty.

Most residents of India are Hindus, and although they either worship Shiva or Vishnu, India still struggles with the caste system ranking humans in inherited socioeconomic classes.

For this reason, a person is either born rich or born poor and has no way to reverse that status going forward. But in fact, the rich get richer despite these internal issues. Although many Indian residents are still illiterate though Indian literacy rates are improving , they are realizing that it is possible to pull themselves out of poverty by any means possible.

At the upper levels of education, India excels and produces very highly qualified graduates who go on to study and work in other countries around the world. Japan has a state-led economic machine, which keeps the country in healthy economic shape. Japan has been interested in reform in a few major areas such as: labor relations, bank relations, corporate governance and supplier relations. Reform in Japan has included the country allowing more of the US management style of capitalism with restructuring to lay off workers when production is a the lowest cycles.

Japanese companies also have learned to focus on specialization instead of going into too many business areas which are diversified. By focusing on a few key industries they are able to capitalize on gains and become industry leaders in many fields such as in high technology for mobile telephones and other communications components.

Japan has continued with a hierarchy system which rewards loyalty and long-term employment with the same organization by the employees. By stressing a seniority-based pay system , the Japanese have encouraged employees to stay at one company for their entire lives.

Germany Capitalism in Germany is found in its institution… […]. The third most capitalist country in the world. Whoever made this list must be severely mentally disabled. China claims itself as the biggest communistic power in the world, however its rising economy and growth of the middle and lower class has allowed capitalistic businesses and a business-related social classes to come form.

Communism was supposed to be good for those in poverty, however since there is less poverty now, China has become more capitalist. However, they still economically control the departments of the country with ultimate power, so they are still kinds communist. Communism is a form of government. Capitalism is an economic structure. Capitalism can be compared to socialism, but not communism… China is very capitalistic now. That says very little about their government except that it allows free trade….

Wow,this is the world we live in today. We are all products of capitalism. One side or the other. If you want it…. Thanks for the book recomendation. So you definitely agree then that china is a capitalistic country. China is number 2, after the U. The ability to become a billionaire kind of shatters the viewpoint that China is strictly communist, communism being an economic pattern dedicated to making the wealth evenly distributed.

One of the U. S does, in reprocessing recyclables — reprocessing metals and paper causes environmental damage if done in a less controlled way — The U. How could you call that the 3rd most capitalist country in the world. You are a big ignorant wondering when you see PRC as a capitalistic country…good morning!!!

Where did you think your smartphone comes? You may not be well acquainted with the idea of a free market, which serves as the foundation of a capitalist system. It is a mixed economy, but capitalism is more prevalent there than you probably realize. In China, you can put everything Yes, everything.

For instance, school seats, human organs,children labour, or even your girlfriend. So China cannot be the third. It should be the first. If you know anything about china will you know it is hugely capitalist. I disagree about germany though, they have much more socialist policies than any of the other countries. Transparent and efficient regulations are applied evenly in most cases, encouraging dynamic entrepreneurial activity in the private sector. Financial markets, although relatively small, provide adequate access to financial resources.

The Swiss economy benefits from high levels of flexibility and institutional strengths that include strong protection of property rights and minimum tolerance for corruption. Also read: There's one way to ride out this next recession. Australia, a vibrant free-market democracy, has recorded impressive economic progress without undergoing a single recession for almost 25 years. In addition to its abundant natural resources, the economy has benefited from lasting entrepreneurial development facilitated by an effective system of government, a well-functioning legal system, and an independent bureaucracy.

Also read: Blip or crisis? What 's horror start really means. Along with the introduction of redistributive tax measures, the corporate tax rate has been raised and is slated to rise further.

Labor reforms have focused on increasing the minimum wage and strengthening union bargaining. Undertaking politically difficult reform measures, including sharp cuts in public-sector wages and restructuring of the banking sector, Ireland has regained its fiscal health and become the first country to exit a European Union bailout.

Also read: How North Korea funnels cash into the country. A simplified tax system, dependable regulatory efficiency, and dynamic engagement with global commerce support the resilient and well-functioning economy.

Economic freedom has been on an upward path in the United Kingdom over the past five years. Defying the eurozone crisis and regional uncertainty, the economy has demonstrated relatively high resilience.

Disciplined fiscal adjustments have helped to restore economic dynamism, steadily reducing the budget deficit. Capitalism and socialism are economic systems that countries use to manage their economic resources and regulate their means of production.

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.

Capitalism's success is dependent on a free-market economy, driven by supply and demand. With socialism, all legal production and distribution decisions are made by the government, with individuals dependent on the state for food, employment, healthcare, and everything else.

The government, rather than the free market, determines the amount of output or supply and the pricing levels of these goods and services. Communist countries, such as China, North Korea, and Cuba, tend toward socialism, while Western European countries favor capitalist economies and try to chart a middle course. But even at their extremes, both systems have their pros and cons. In capitalist economies, governments play a minimal role in deciding what to produce, how much to produce, and when to produce it, leaving the cost of goods and services to market forces.

When entrepreneurs spot openings in the marketplace, they rush in to fill the vacuum. Capitalism is based around a free-market economy, meaning an economy that distributes goods and services according to the laws of supply and demand. The law of demand says that increased demand for a product means an increase in prices for that product. Signs of higher demand typically lead to increased production. The greater supply helps level prices out to the point that only the strongest competitors remain.

Competitors try to earn the most profit by selling their goods for as much as they can while keeping costs low. Also part of capitalism is the free operation of the capital markets.

Supply and demand determine the fair prices for stocks, bonds, derivatives, currencies, and commodities.

In his seminal work, An Inquiry Into the Nature and Causes of the Wealth of Nations , economist Adam Smith described the ways in which people are motivated to act in their own self-interest. This tendency serves as the basis for capitalism, with the invisible hand of the market serving as the balance between competing tendencies.

Because markets distribute the factors of production in accord with supply and demand, the government can limit itself to enacting and enforcing rules of fair play. In socialist economies , important economic decisions are not left to the markets or decided by self-interested individuals.

Instead, the government—which owns or controls much of the economy's resources—decides the whats, whens, and hows of production. This approach is also referred to as central planning. Advocates of socialism argue that the shared ownership of resources and the impact of central planning allow for a more equal distribution of goods and services and a fairer society.

Both communism and socialism refer to left-wing schools of economic thought that oppose capitalism. However, socialism was around several decades before the release of The Communist Manifesto , an influential pamphlet by Karl Marx and Friedrich Engels.

The United States is arguably the most well-known country with a capitalist economy, which many citizens see as an essential part of democracy and building the "American Dream.

Despite this distinction, the United States falls short of the top 10 in terms of the most capitalistic countries in a report from The Heritage Foundation and Global Finance Magazine. According to the Heritage Organization's Economic Freedom of the World Index , the top 10 countries with the most capitalist economies ranked from highest score to lowest are:. This list stands as a bit of a contrast from a list compiled by the Fraser Institute :.

There are benefits and drawbacks to a capitalist economy. For example, capitalism cultivates competition, which often drives both innovation and affordability, with the best products selling at the best possible prices. Economic growth is another benefit. On the other hand, one of the most significant disadvantages of capitalism is that it does not promote equality of opportunity. In short, some people may not get the opportunities that others receive. Moreover, the unrestrained "supply and demand" nature of the free market can result in prices too high for lower income individuals to afford.

In theory, yes.