The business or economic system in which one class of people (aristocrats) control the property rights to all valuable resources, including people.
• Land, Labor, and Property Rights
-Economists regard the clan, or tribe, as the earliest form of organized business activity.
-They had different people to work together in each of their specialties to work together to survive. Ex: head chief to food gatherers, priest, shamans, sages, craftspeople, and hunters.
Mercantilism is the business system in which products are traded across markets and countries until they are put to their most highly valued use, that is, invested or consumed where they create the most utility.
-From the time of the Phoenician traders onwards, there was a great deal of mercantilism between countries in the Middle East and Europe. Even in
Egyptian times this trade was huge
-One of the problems with mercantilism, for example, was being able to attract investors. We mentioned earlier how trading ventures were risky.
Ships might sink or be robbed of their valuable cargoes, for example.
Capitalism is the economic, business, and political system that allows people to own resources and use them to engage in production, trade, and the distribution of goods and services
-Capitalists are people, like Carnegie and
Rockefeller, who personally own and/or control the physical capital of industrial production—machinery, factories, distribution networks, raw materials and inputs, research and development and technology.
-Capitalism gave rise to increasing conflicts between capitalists and workers. This led to the formation of trade unions that lobby on behalf of their members to increase their wages and working conditions.
Capitalism also gave rise to a more complicated class system: a social hierarchy based upon people’s capital and wealth, heredity, kinship, fame,
an interchange of goods or commodities, especial ly on a large scale between different countries (foreign commerce) or between differ ent parts of the same country(domestic comme rce) trade; business.
-Labor and land are normally used in conjunction with capital and enterprise to promote trade and commerce -Labor and land are normally used in conjunction with capital and