According to ethical theories, which economic system is viewed as the right approach for the world?

The identification of capitalism as the most favorable economic system according to various ethical theories is based on several philosophic and practical considerations. Capitalism is often seen as promoting individual freedom and innovation. It allows individuals to pursue their self-interests, which ideally results in overall economic growth and improved standards of living through competition and market dynamics.

From a utilitarian perspective, capitalism tends to create the conditions for higher overall utility by generating wealth, increasing efficiency, and providing consumers with a variety of choices. This system encourages entrepreneurial activities and rewards those who can offer products and services that meet the needs of the market, leading to advancements and a continuously evolving economy.

Furthermore, ethical theories that emphasize personal autonomy and individual rights often align with capitalist principles, as the system endorses private property rights and respects individual choices in economic transactions. This respect for individual agency can foster an environment where people are incentivized to innovate and make decisions that contribute to their own welfare, ultimately benefiting society as a whole.

In contrast, other systems like socialism and communism focus more on collectivism and the redistribution of wealth, which can sometimes overlook individual incentives and discourage entrepreneurship. Feudalism, with its rigid class structure and lack of mobility, is generally viewed as outdated and incompatible with modern ethical standards