What economic system is characterized by private ownership and the free market?

The economic system characterized by private ownership and the free market is capitalism. In capitalism, individuals or businesses own and control the production and distribution of goods and services. This system emphasizes minimal government intervention in economic affairs, allowing supply and demand to dictate prices and the allocation of resources. Capitalism encourages competition, innovation, and individual entrepreneurship, which can lead to economic growth and increased standards of living.

In contrast, feudalism is a medieval system centered around land ownership and obligations, where land lords governed resources and peasants worked the land. Communism advocates for collective or state ownership of all means of production, with the intent of eliminating social classes and distributing wealth equally. Socialism allows for some degree of private ownership but emphasizes government control and redistribution of resources to promote social welfare. Each of these systems operates under different principles regarding ownership and market regulation, making capitalism distinct as the system that promotes private ownership and a predominantly free market.