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Capitalism is a system in the economy owned privately by other people, not by the government whereby apart from owning the system, they also run several companies in the economic market. Those owners determine what products to produce, where to sell products and at what competitive price that meets their profit’s target margin. However, existence of capitalism does not guarantee its purity; hence, most governments in the world still remain in control of the economy as capitalism remains the most popular system of economy globally. This case exists in the United States and as much as the government has tried to keep out of it, other European countries have competitively taken the largest control of the economy forcing America to activate its involvement in the free market economy, as well. This paper aims to discuss how the United States government can improve Capitalism so that more Americans would freely and successfully participate in the free enterprise system.

Since the U.S. involvement in the economy is rampant and most of its leaders, especially the executive and the senate arm of the government, often determine the direction in which most of the economic decisions are taken; therefore, the government must ensure transparency and an economic balance to keep the free market economy afloat. The United States government must ensure stable competition in the free market economy through subsidizing the prices of products sold in the market. Keeping the prices low and the quality high captures the interests of the common American citizen due to affordability. Due to it, they stand a chance of participating successfully in the free market enterprise system. Furthermore, the U.S. government can strike equilibrium in making a decision where to sell and the prices of products sold by enacting policies of trade. It limits the existence and power of company monopoly. This way, the companies that venture in the free enterprise will have a united power over the goods and services presented in the market and, will act together to set sound and affordable prices that gives room for other Americans to venture and successfully compete in the free enterprise system.

Although, the current state of the economy is shaky and unpredictable the U. S government needs to ensure that the survival of the existing and upcoming smaller companies; this will go into assistance to the Americans who have freshly joined the economical market remain afloat and also attract the participation of more individuals in the free market economy. Additionally, to strengthen the place of the small companies in the market compared to the large and fast growing companies the U.S. government can enact stiffer laws that limit the market power of the larger trust companies, therefore, reassuring the other Americans that their participation in the free enterprise system is safeguarded and valid.

Currently, due to the economic recession in the U.S., the business cycle faces many challenges that limit the expansion and employment base of educated American. This occurrence is normal in capitalism, but the government plays a crucial role in stabilizing the business cycle. In this case, the United States government has an obligation to stabilize the economy through the happy times and the terrible by lowering the interest rates on loans and borrowed capital, as well as the taxes paid by the business people. This boost to capitalism goes a long way in laying down a stable foundation for business in the free enterprise giving more room and will power to the scared Americans not willing to join the free enterprise system; because of fear of losing all their investments in the recession. The stable interest rate and tax on goods the larger the capacity of American entering and expanding their roots in the free enterprise market system.

Another remarkable improvement that the U.S. government can make to capitalism has to deal with the people. The citizens of America make what America is today, but this generation has a mixture of the rich, middle class, the poor and the extremely poor people. They can deduce initiatives to help them by imposing more tax on the rich more than the middle and poor American; in order to boost the social market economy, which will in return influence the stabilization of prices on produced goods (Prasad, 2010). Hence, attract more American to participate successfully in the free enterprise market without oppression and rights abuse by the rich entrepreneurs and companies.

Basing on the current state of the market economy, a dark cloud looms forcing most of the entrepreneurs to take up large volumes of debt from banks to keep their businesses afloat in the competitive market. This capitalism structure only supports the rich millionaires in the U.S. working contrary to the targeted larger population of Americans; therefore in order to attract more Americans to venture in to the free enterprise market system the U.S. government will have to restructure capitalism to accommodate more numbers. This effort goes into dissolving the unaudited private entities having control and power in the U.S. Central bank and opening it out to the public instead of a few greedy individuals. This move will in return aid the small American entrepreneurs to access money and borrow capital easily from banks at a stabilized interest rate decided by the government instead of the outrageous, extrapolated rates the rich private entities had imposed on the free market economy. The state should push for transparency in accessing funds and capital borrowed for business ventures, and the interests recovered from traders should go straight into the government treasury to aid in decreasing taxes as well as channelling out stimulus; that will contribute in the easement of the inflation burden. Concentrating still on borrowing the U.S. Government needs, regulate the amount and borrowing rate because the more debts the state has the more the market economy will continue to suffer from steeper product prices; in an effort to raise more tax revenue to foot the bills to the estimated level for survival (Hill & Rae, 2010). The government, therefore, needs stiffen its measures and set up alerts on the safest levels of borrowing that entrepreneurs should never breach; in order for other Americans to stand a chance of successfully participating in the free, enterprise system.

In terms of the government improving the living conditions of people, they should note that no success would come if they obsess on growth through borrowed money because this only slows down the corporate profits and the index levels equally. At the same time it puts more pressure on the market economy limiting the chance for free indulgence in the enterprise system. Instead, the government should reduce its obsession in growth through impossible means (Prasad, 2010).

The U.S. government needs to start learning how to pay for the projects costs that the mining and steel companies and other infrastructure sectors impose on the environment to achieve discounted corporate rates that will in return boost the economy market through low prices and reduced taxes paid by the small American entrepreneurs (Prasad, 2010). Moreover, the U.S. government has to work on reducing the risk and increasing the compensation rates of returns and pay-offs in case a firm producing the products already circulating in the market gets busted. They can advocate for escrow business accounts that protect the stored bonus for entrepreneurs in case of disasters; so that it does not affect the free market economy (Hill & Rae, 2010).

In conclusion, despite the government improving capitalism to foster favorable conditions for American to participate successfully in free enterprise system, they also need to merge all the above-mentioned measures with a little more focus on financial education of the Americans. They should enable the individuals understand the financial basis of products and the future of products’ in the market as one of the pillars of surviving in the competitive free economy market (Prasad, 2010).

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