The US economic system is a mixed economy. This is because it features both the characteristics of a capitalist and socialist economic system. Such an economy allows for freedom of private ownership of property, protects private property and also allows the government intervention in its objective of protecting social aims. Over the years the US economy has been perceived as a capitalist economy whereby the private and the individuals made economic decisions and goods and services were privately owned. However the government has been putting some measures in the planned economic control. The government puts strict regulatory measures to the private sector whereby the sector requires the government licensing to perform. The government also bans some businesses. The transactions in the US mixed economy are controlled by the government through subsidy or employing tax policies. Some of the goods and services controlled by the government in the US are health care, education, roads and other infrastructures. The government provides subsidy mainly to the oil sector, agricultural sector and financial companies. The private small scale businesses are licensed and regulated by the government. The government has a set of policies that govern virtually all the business sectors like beauty parlors, real estate agents and financial agents in the US mixed economy. The government also imposes heavy taxations to curb unwanted ventures.
This aspect of the American mixed economy does not change across the south and west states. These states which include Arizona, Texas, and New Mexico among others have been associated with their agricultural and mining as well as gas and oil sectors in which the government still controls and has a stake in and that they also generate billions of dollars as revenue to the USA economy. There are also other industries establishments spreading to this area. They therefore cannot be referred to as a capitalist economy.
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