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Ola
Lv 4
Ola asked in Social ScienceEconomics · 1 decade ago

Is capitalism the best form of market economy?

I always thought a mixed economy is better.

1 Answer

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  • 1 decade ago
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    Certainly yes. No better alternative to market economy capitalism has so far been found out, theoretically or empirically. However all capitalism is not market economy capitalism. India still has a strong component of inefficient State Capitalism with non-market economic sub-systems. Mixed economies are generally Govt. dominated economies. The United States is an example of mixed economy but where market economy is the prime mover. India is a mixed economy but still dominated by inefficient State capitalism non-market sectors. Virtually the entire banking sector is 80% non-market State capitalism. Mixed economy at time is even worse than Communism.Market economy capitalism is the best which even the USA is not taking full advantage of.

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