Throughout history, the world has experienced several types of socio-economies, from Mussolini's fascism to Mao's communism. All of these economies have their weaknesses and strengths and most have countries that can validate their effectiveness. However, to decide which economy is truly best for society, there must be criteria by which to judge its effectiveness. So, what is a corporation? Essentially, it is a web of connections that we, as human beings, have forged on the premise that by working together we can all be happier than if we only took care of ourselves- same. With society, everyone is able to focus on what they do best, benefit from the skills of others, and avoid conflicts that would otherwise arise. It follows that the ultimate goal of society is the happiness of all. And currently, there is only one economy that has stood the test of time and achieved this goal. Capitalism, with its merit system, flexible cost adjustments and, by having no other economic competitors, is capable of creating a society better than any other socio-economic system. By having an economic system that rewards merit rather than mediocrity, capitalism stimulates the market. as well as individuals to progress, thereby improving the overall well-being of society. In a capitalist society, it is the people who produce who are rewarded. Entrepreneurs or companies that come up with a new product, give people the service they want, or entertain them better than anywhere else will be paid handsomely for it. Through this free market, people are incentivized to work hard, innovate, and invest, all for profit. This self-organization of the economy creates more prosperity not only for the people behind the idea, but also for the people...... middle of paper ...... it is estimated in the United States that The richest 1 percent control 38 percent of the wealth; the richest 20 percent control 83 percent. Such enormous amounts of money concentrated in a fraction of the population come with immense economic, social and political power for this small part of society. In a socialist state, however, the government regulates the market, controls the means of production, and distributes wealth on a more equitable basis, so that wealth is not concentrated in the hands of only a small percentage of society. /web.a.ebscohost.com/pov/detail?sid=3676e4cb-45c8-41b0-ab8c-719e32fd8b1e%40sessionmgr4004&vid=1&hid=4101&bdata=JnNpdGU9cG92LWxpdmU%3d#db=pwh&AN=43268219http://web. at .ebscohost.com /pov/detail?sid=15bd12f2-15cf-4dbf-937c-2ea9e45870b8%40sessionmgr4001&vid=1&hid=4114&bdata=JnNpdGU9cG92LWxpdmU%3d#db=pwh&AN=43268220