Econ: Capitalism

I'm in the mood for posting a new journal

In this article I want to share what I've got from my econ class.
I'll try to explain more about what we called capitalism.
Maybe some of you think this is a light topic to read, but I think I've come up with something interesting.

Capitalism is an economic system which people believe that a market should be privately owned, so one can generate his own profit.Sources such as labor, land, and capital are privately owned.
This system seems to be more fair than socialism because there will be always a guarantee for free enterprise.

Understanding capitalism means we have to know about its weakness.
In PURE CAPITALISM one has no protection from government. It means there are no such things as regulations among entrepreneur.Some people think free enterprise in capitalism is a good concept, but let's think again about it.
In fact, this is one of the frauds in capitalism. I'd like to call this fraud as "merchant barrier."
Merchant barrier is an action which can prevent a new competitor to join the market because "seniors" in the market can conspire and agree to kick newcomers in order to maintain their market share.

However, now we can see that we need a government to interfere and erase some problems in capitalism. That's why we called it mixed capitalism when we see a government interfere with capitalism market.

So why capitalism is still better than socialism?

In economics innovation is a big deal because with innovation, one can open a new market which automatically he will get a bigger chance to success.

In socialism, people easily lose their motivation because sooner or later, they will find it's useless to work and they can find it's so easy to rely on somebody else who are willing to work.
Indeed, I find socialism theory contradicted with human nature. When we talk about human nature that means DESIRE is one among the others, and socialism is more likely tend to absorb one's desire.

What I want to say is people in capitalism tend to be more creative than those who are in socialism.

We always excited with something new. Don't we?