noun · formal

capitalism

/ˈkæpɪtəlɪzəm/CAP·i·tal·ism

Band 5-6speakingtask2

An economic system where private individuals or companies own and run businesses to make profit.

Examples

Many argue that capitalism encourages innovation but increases inequality.

Under capitalism, markets decide prices and resource allocation.

Some critics want stronger regulations to limit capitalism's excesses.

Band 8 sentence

While capitalism has driven technological progress, it has also widened social inequality in many countries.

Collocations

  • free-market capitalism
  • state capitalism
  • capitalism vs socialism

Word family

capitalism nouncapitalist nouncapitalist adjective

Common mistakes

in capitalism systemin a capitalist system

Capitalism have benefitsCapitalism has benefits

Say it for a higher band

5free market6market economy7+capitalism

Synonyms

market economy

Easily confused

socialism

The debate compared capitalism and socialism as alternative economic systems.

Related words

Learn this word with the rest of its set, and get reminded at the right time.

In -ism

Learn it with its set