Industrial Capitalism and Its Impact on 19th-Century Society
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Industrial Capitalism
The Industrial Revolution, originating in Britain, propelled the rise of capitalism and liberalism. This system subsequently spread throughout Europe, the USA, and Japan.
In the eighteenth century, Adam Smith defined economic liberalism. He posited that self-interest was the driving force of the economy, prices adjusted supply to demand, and the state should not interfere with free trade.
Under these principles, capitalism is based on a system where the means of production are privately owned.
When supply outpaces demand, businesses fail, stockpiles accumulate, and unemployment rises. This chain of events leads to economic crises.
Banks played a crucial role, providing loans and facilitating payments through checks and bills.... Continue reading "Industrial Capitalism and Its Impact on 19th-Century Society" »