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Capitalism

Capitalism

Capitalism
	Just as any economic system, capitalism is one that must balance the scarcity of resources in relation to the wants of those resources, or the Law of Supply and Demand.  Although the demands of humans (consumers) are limitless, resources do in fact have limits as to how long they will be available for consumption.  The purpose of the economic system in place must allocate the resources, which have variable usage, in order to satisfy the wants of human consumers.  However, capitalism is not only seen as an economic system, but as a social system and governmental system as well.  In order to understand one, it is important to have a basis to all implementations of capitalism.  
	The purpose of this paper is to discuss the principles and practices of capitalism or laissez-faire capitalism as an economic system, as well as to compare the two largest, most advanced and successful systems of capitalism in the World, that of Germany and the United States of America.  While capitalism as a whole has certain fundamental similarities, there are differences that reside in the two systems, most undoubtedly due to the differences in culture of the two countries.

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