Question

Today most of the nations of the world are moving towards capitalism. These nations have
embraced capitalism to promote entrepreneurship, to gain economic prosperity and to
achieve higher standard of living. But capitalism has led to various problems viz exploitation of
labour, class struggle, wide disparities in income and wealth, etc. In mixed economic system
earlier public sector units were run for promoting social welfare. But now either public sector
units are being privatised or these are run on profit motive like private sector units. Economists
throughout the world are debating on positive and negative aspects of capitalism, socialism
and mixed economic system.
On the basis of above information answer the following questions:
1. What are the benefits of capitalism?
2. What are the various dark sides of capitalism?
3. Suggest remedies to overcome the ill effects of capitalism.
4. "Mixed economic system is still a golden path between capitalism and socialism"
Explain.​

Answer 1

Answer:

Benefits

welfare of society.

Better GDP growth

Better use of resources in national interest

Dark sides of capatalism-

only done for profit making

does not contribute to social justice

yes mixed economy is still a golden path because govt. makes effort for both society and profit which is also called allocation of resources