the capitalist economic system is based on private ownership of land and resources.
the capitalist economic system is based on private ownership of land and resources.
which economic system is based on private ownership of land and resources?
capitalist
some proponents of market socialism see it as an economic system compatible with the political ideology of democratic socialism. advocates of market socialism such as jaroslav vanek argue that genuinely free markets are not possible under conditions of private ownership of productive property. instead, he contends that the class differences and inequalities in income and power that result from private ownership enable the interests of the dominant class to skew the market to their favor, either in the form of monopoly and market power, or by utilizing their wealth and resources to legislate government policies that benefit their specific business interests. additionally, vanek states that workers in a socialist economy based on cooperative and self-managed enterprises have stronger incentives to maximise productivity because they would receive a share of the profits (based on the overall performance of their enterprise) in addition to receiving their fixed wage or salary. many early and proto-socialists were fervent anti-capitalists just as they were supporters of the free market, including the british thomas hodgskin, the french pierre-joseph proudhon and the americans benjamin tucker and lysander spooner, among others. although capitalism has been commonly conflated with the free market, there is a similar "laissez-faire" economic theory and system associated with socialism called left-wing or socialist "laissez-faire", or free-market anarchism, also known as free-market anti-capitalism and free-market socialism to distinguish it from "laissez-faire" capitalism.
democratic socialism
economic systems are commonly segmented by their property rights regime for the means of production and by their dominant resource allocation mechanism. economies that combine private ownership with market allocation are called "market capitalism" and economies that combine private ownership with economic planning are labelled "command capitalism" or dirigisme. likewise, systems that mix public or cooperative ownership of the means of production with economic planning are called "socialist planned economies" and systems that combine public or cooperative ownership with markets are called "market socialism". some perspectives build upon this basic nomenclature to take other variables into account, such as class processes within an economy. this leads some economists to categorize, for example, the soviet union's economy as state capitalism based on the analysis that the working class was exploited by the party leadership. instead of looking at nominal ownership, this perspective takes into account the organizational form within economic enterprises.
economic system