Economics has been around since the beginning of time, but the study of economics dates back only a few hundred years. Since the beginning of human history, people have had to confront the problem of scarce resources and unlimited wants. The study of economics will continue until the end of time because each day uncovers new evidence that supports or revolutionizes economic theory.

The Development of Economic Systems

The United States has a capitalistic economic system. Sometimes this system is called the free-enterprise system because that term is more acceptable to certain individuals. A capitalistic system includes a market society, or market system—a system of mercantilism in which participants react freely to the opportunities and challenges of the marketplace. This is in contrast to systems in which participants follow tradition or the commands of others. In a market system, anyone can...