Capitalism In The Form Of Organization And Economic

Capitalism in the form of organization and economic

In this research work we will find and solve the concerns about what capitalism is, where it emerged and several characteristics about this issue, it is very important to know this because we are Colombians we live in a society with a capitalist economic system and This helps us to know how to defend ourselves in our daily lives, we learn general culture and things that are very important in our personal life and in society

Capitalism is a form of social and economic organization, based on the production of a community, founded on capital as the main element of production and generator of wealth. The means of production must be privately owned, that is, they must belong to natural persons and not to state organizations, this system allows the market to flow and be carried out depending on the results that seek private interest. This form of organization was born with the existence of urban conglomerations at the same point, which were to market. At first, they sought to buy cheap to sell expensive and were not interested in transforming the means of production to generate more profits.

In relation to its beginnings in Europe, in the seventeenth century, capitalism emerged as a replacement for feudalism (a system in which a subordination in a free man (vassal) by a feudal man) is presented; that is, capitalism altered the labor forces by a servitude (slavery) of the feudal system, to the salaried man contracted freely.

Several questions arise from this, how is capitalism based? How has this charged so much strength in today’s society? Your answer has a lot to do with fundamental pillars such as private property, people who obtain total property either land, houses or some tangible or intangible material. In this context, the means of production, also called economic or capital resources, allow to carry out some work of a productive nature, either in the manufacture of a consumption article or the provision of a service, likewise, the competition: because Maximize the market, and create an atmosphere of “well -being” between producers and consumers, also, their own interest: people seek their personal benefit, that of their collaborators or partners, on the other hand, free choice: since a Product or service is not only offered by a company, if not, that there are several and are at the choice of the consumer, all the aforementioned pillars are subject to the intervention of the State, that is, the State participates as a regulatory entity ensuring the interests of consumers and in general of society, a very limited participation.

Adam Smith created a model to have an economic system, without knowing I believe what the foundations of capitalism were, he considered that the only people who could produce what wealth were and promote would be those people who work with the earth and exploited resources national what we know today as Gross Domestic Product. With capitalism people began to create their capital and began to want to win more and with the free market they began to export their products to other parts of the world and people began to dress as they dressed in other parts and using technology that was not created In their country both owner of the land and capital, and workers, seek to increase their well -being, so they try to get the most out of their resources and the work they use to produce, the capital generated by the exchange of goods and services , it is reversed in the manufacture of goods to generate more profits. Capitalism establishes free trade, that is, the possibility of establishing the purchase and sale prices according to the law of supply and demand, these are fundamental for an efficacy of the capitalist system, for this reason capitalism does not allow interference of the State in the market, at least in regard to price regulation.