From an Economic standpoint capitalism is,

“An economic system in which the means of production and distribution are privately or corporately owned and development is proportionate to the accumulation and reinvestment of profits gained in a free market.” (Source: From a social standpoint capitalsim is defined as,  “A social system based on the principle of individual rights.”(Source: Capitalism is both social and ecoconimic and without the social definition of capitalism a country cannot successfully practice the economic definition of capitalism. Capitalism can only exist with individual property rights. Under a capitalistic economy price is derived from supply and demand. A good costs whatever a seller and a buyer agree upon. This is contrary to communist and socialist systems where the government can determine the pricing of goods or services. A capitalistic economy defends the rights of the individual, making it different than any other economic system. Capitalism is not only an economic system but a moral system. “Capitalism should be defended vigorously on a moral basis, not an economic or utilitarian basis.”