Pros And Cons Of Pure Capitalism

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Recommended: Discuss the advantages and disadvantages of capitalism

Pure capitalism is a concept that hasn't been used. The basic premise is that individuals would have full control of the factors of production with little government intervention. Because of this many people argue that it would work too create a good economy. There are those who think that pure capitalism would not work, that without the government there to supervise, individuals would abuse the market.

Pure capitalism is the best economic system because individuals control the factors which means that they'll be improving their company for their benefit which in turn benefits the economy. Since businesses are all in control, the economy would be a perfect competition, in where everyone has an equal chance in entering the market place.Since the government won't get involved, trade restrictions wouldn't exist, and everyone would be allowed free trade.

Pure capitalism is not the best economic system, there is too much that could go wrong. The fact that no country has ever been truly pure capitalist shows that. Pure capitalism is like communism, and socialism all sound good on paper but in action, fail. …show more content…

The government won't be able provide resistance to these individuals either since they're laissez-faire. Individuals would take control of the marketplace. Greedy people would merge, make deals, or cartels in order to insure that they gain while others don't. The society would first be a monopolistic competition, in which a lot of small businesses run the market, but as time goes on they the market would eventually become an oligopoly, in which a small amount of big businesses run the market, eventually the market could even become a monopoly in which only one business owns everything. Monetary policy, and fiscal policy wouldn't be a thing since the government wouldn't get involved into the

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