Explain how capitalism has adapted (changed) from when it first began. Compare it with the modern Canadian mixed economy. Show how the two economic systems are different.
Check these sites.
http://www.wsu.edu/~dee/GLOSSARY/CAPITAL.HTM
http://www.historyworld.net/wrldhis/PlainTextHistories.asp?historyid=aa49
http://www.canadianeconomy.gc.ca/English/economy/capitalism_socialism.html
Capitalism, as an economic system, originated during the industrial revolution in the late 18th century. Since then, it has undergone significant adaptations to meet the evolving demands of society. Comparing the early stages of capitalism with the modern Canadian mixed economy helps us understand these changes and the differences between the two systems.
When capitalism first emerged, it was characterized by laissez-faire economics, meaning minimal government intervention in economic affairs. At that time, the economy was primarily driven by private ownership of the means of production and the pursuit of profit. Industrialists and entrepreneurs had the freedom to operate their businesses with little regulation or restrictions.
Over time, capitalism adapted to address the social and economic challenges it faced. The influence of industrialization, the rise of labor movements, and the need for welfare measures led to the establishment of government interventions and regulations. These changes aimed to minimize inequality and address the negative consequences of unrestricted capitalism.
In contrast to the early stages of capitalism, the modern Canadian economy is a mixed economy that combines elements of both capitalism and socialism. It features private ownership of businesses and the pursuit of profit, but it also incorporates government interventions to promote social welfare and economic stability.
The Canadian mixed economy embraces redistribution through progressive taxation to fund social welfare programs such as healthcare, education, and social security. It also emphasizes the protection of workers' rights, encourages collective bargaining, and provides unemployment benefits.
In terms of regulations, the Canadian government implements policies to ensure fair competition, protect consumers, and safeguard the environment. It also establishes labor standards, sets minimum wages, and enforces workplace safety regulations.
Overall, the differences between early capitalism and the modern Canadian mixed economy lie in the level of government involvement and regulation. While the early stages of capitalism heavily relied on free-market principles with limited government intervention, the Canadian mixed economy prioritizes social welfare and aims to balance the interests of businesses, workers, and society as a whole.