At its root, capitalism is an economic system based on three things: wage labour (working for a wage), private ownership or control of the means of production (things like factories, machinery, farms, and offices), and production for exchange and profit.
Which is the best type of economic system?
Easy- capitalism/free enterprise is the best economic system because of two reasons: a) it produces long-term economic growth and b) every other economic system has either struggled to reach the success of capitalism or has failed altogether, such as communism.
Why is capitalism so important?
A: The most important aspects of a capitalist system are private property, private control of the factors of production, accumulation of capital and competition. Put simply, a capitalist system is controlled by market forces, while a communist system is controlled by the government.