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Modern World History
Industrial Revolution CH 9:4
| Term | Definition |
|---|---|
| Adam Smith | defended idea of free economy known as Capitalism in the book The Wealth of the Nations. |
| capitalism | an economic system where the factors of production are privately owned and money is invested in business to make a profit. |
| socialism | an economic system where the factors of production are owned by the public and operate for the welfare of all. |
| Karl Marx | introduced a radical form of socialism called Marxism in the Communist Manifesto. |
| communism | is the final stage of Marxism. It is an economic system where the factors of production are owned by the people and private property does not exist |