What are the defects of the capitalist system?

Following are the defects of the Capitalist System:

a. Increasing inequality in wealth:

As an economic system characterized by the private ownership of the means of production and distribution, there exists the obvious tendency for the increasing inequality in society.

b. Goods and services that have high utility to the ordinary citizens are in short supply or non-existent:

In a capitalistic economy profit is the motivation behind all productive endeavors. This way, productive scarce resources could be “wasted” on goods and services that serve no basic purposes, while other goods and services that have high utility to the ordinary citizens are in short supply or non-existent.

c. Monopoly;

People who own maximum resources start controlling the markets and prices of goods and services.

d. Wastage of scarce resources as they may not be used efficiently

e. Overproduction of certain commodities, disturbing economic environment

f. Lack of control of the government of employment, Inflation and other factors