it is defined by the creation of a labor market in which most people have to sell their labor-power in order to survive. As Marx argued capitalism is also distinguished from other market economies with private ownership by the concentration of the means of production in the hands of a few. Many others use capitalism as a synonym for the market economy.
             The following example introduces many of the ideas involved in capitalism. When starting a business, the initial owners or investors typically provide some money or also known as capital, which is used by the business to buy or rent some means of production. For example, the enterprise may buy or rent a piece of land and a building; it may buy machinery and hire workers. The commodities produced by the workers become the property of the capitalist, capitalist in this sense is the person who has capital and/or money, and are sold by the workers on behalf of the capitalist.
             The money from sales also becomes the property of the capitalist. The workers deposit the money into the capitalist's bank account. Once the capitalist receives this money, they pay the workers a portion for their labor, pay other necessary bills, and keeps the rest as profit. If more money is needed than the initial owners are willing or able to provide, if not then the business may need to borrow a limited amount of extra money with a promise to pay it back with interest like at a bank. The business is granted a degree of legal authority, and control, over a set of factors of production.
             The business can register as a corporate entity. The owners can pay themselves some of the income derived from the business dividends, and sell shares of stock in the company, or they can sell all of the equipment, land, and other assets, and split the proceeds between them. In larger companies, authority is usually delegated in a hierarchical or bureaucratic system of management. When company ownership is spread among many sh...