Capitalism, Socialism, and Democracy | Study Guide

Joseph A. Schumpeter

Download a PDF to print or study offline.

Study Guide
Cite This Study Guide

How to Cite This Study Guide

quotation mark graphic


Course Hero. "Capitalism, Socialism, and Democracy Study Guide." Course Hero. 26 Apr. 2019. Web. 6 Aug. 2020. <>.

In text

(Course Hero)



Course Hero. (2019, April 26). Capitalism, Socialism, and Democracy Study Guide. In Course Hero. Retrieved August 6, 2020, from

In text

(Course Hero, 2019)



Course Hero. "Capitalism, Socialism, and Democracy Study Guide." April 26, 2019. Accessed August 6, 2020.


Course Hero, "Capitalism, Socialism, and Democracy Study Guide," April 26, 2019, accessed August 6, 2020,

Capitalism, Socialism, and Democracy | Glossary


accumulation: the acquiring of things, goods, services, money

anarchism: political philosophy based on the rejection of hierarchy in favor of self-organization

bourgeoisie: the middle class; in Marxist analysis, the capitalist class that owns capital and the means of production

bureaucracy: system or part of government conducted by unelected public officials as a profession

business cycle: the cycle of expansion and contraction in business; boom and bust

capitalism: economic system in which economic decisions are made by private entities in competition with one another

communism: radical economic and social system based on equality of citizens and management of economic matters by public bodies

creative destruction: theory that business failures and recessions form a necessary role in capitalism by clearing away failed or uncompetitive business and creating new opportunity

democracy: political system based on people choosing for themselves how they will be governed

entrepreneur: an economic actor who takes on risks to create new businesses or introduce new products and methods

equilibrium: state of balance between two or more forces

inflation: trend of increasing prices or decreasing value of money

Keynesianism: economic theories proposed by John Maynard Keynes (1883–1946) centered around the role of aggregate demand in producing and solving recessions

marginal utility: theory of the price of goods based on the extra satisfaction different goods bring to the consumer

monopoly: one entity's sole control of the market in a given good or service

New Deal: economic and social programs enacted by the United States during the Great Depression including greater state involvement in the economy and society

perfect competition: theoretical economic state in which numerous buyers and sellers compete without monopoly

socialism: economic system based on public management of economic matters

Cite This Study Guide

information icon Have study documents to share about Capitalism, Socialism, and Democracy? Upload them to earn free Course Hero access!

Stuck? We have tutors online 24/7 who can help you get unstuck.
A+ icon
Ask Expert Tutors You can ask You can ask You can ask (will expire )
Answers in as fast as 15 minutes