Anglo-Saxon Capitalism

AAA

DEFINITION of 'Anglo-Saxon Capitalism'

A form of capitalism that is usually associated with the United Kingdom and the United States, but also characterizes the economies of such countries as Canada, Australia, New Zealand and Ireland. It traditionally has heightened free-market tendencies, characterized by less regulated financial and labor markets. It differs from its counterpart, continental capitalism, which is more state-controlled and focused on wealth redistribution. Most of the countries in continental Europe including France, Italy and Germany possess a form of the continental economic model.

INVESTOPEDIA EXPLAINS 'Anglo-Saxon Capitalism'

Advocates of the Anglo-Saxon economic model argue that it encourages innovation and creates competitive advantages that promote greater overall prosperity. Those who support the continental model maintain that it produces less inequality and poverty at the lowest margins of a society.

RELATED TERMS
  1. Capitalism

    A system of economics based on the private ownership of capital ...
  2. Free Market

    A market economy based on supply and demand with little or no ...
  3. Free Enterprise

    An economic system where few restrictions are placed on business ...
  4. Monetary Policy

    The actions of a central bank, currency board or other regulatory ...
  5. Laissez Faire

    An economic theory from the 18th century that is strongly opposed ...
  6. Invisible Hand

    A term coined by economist Adam Smith in his 1776 book "An Inquiry ...
Related Articles
  1. Economics

    Adam Smith: The Father Of Economics

    This free thinker promoted free trade at a time when governments controlled most commercial interests.
  2. Economics

    The History Of Economic Thought

    Economics is a vital part of every day life. Discover the major players who shaped its development.
  3. Personal Finance

    The History Of Capitalism: From Feudalism To Wall Street

    Find out how the economic system we now use was created.
  4. Personal Finance

    Are We Losing The Middle Class?

    Find out where your income and lifestyle put you compared to the national average.
  5. Forex Education

    Free Market Maven: Milton Friedman

    As proponent of free market capitalism, this economist changed the way the world's economies operate.
  6. Options & Futures

    Financial Capitalism Opens Doors To Personal Fortune

    The Industrial Revolution introduced a new age of investing and financial self sufficiency.
  7. Economics

    What Is The Labor Market Conundrum?

    We are facing a conundrum with investment implications: Why are wages still stagnant, when jobs are being created at the fastest pace since the late 90's?
  8. Economics

    Understanding Impairment

    In finance and accounting, impairment refers to the loss of value of a company’s capital stock.
  9. Economics

    What is a Promissory Note?

    A written promise by one party to pay another party a definite sum of money either on demand or at a specified future date.
  10. Savings

    How Microeconomics Affects Everyday Life

    Microeconomics is the study of how individuals and businesses make decisions to maximize satisfaction. Microeconomic principles can describe many everyday experiences. We use renting a New York ...

You May Also Like

Hot Definitions
  1. Fiat Money

    Currency that a government has declared to be legal tender, but is not backed by a physical commodity. The value of fiat ...
  2. Interest Rate Risk

    The risk that an investment's value will change due to a change in the absolute level of interest rates, in the spread between ...
  3. Income Effect

    In the context of economic theory, the income effect is the change in an individual's or economy's income and how that change ...
  4. Price-To-Sales Ratio - PSR

    A valuation ratio that compares a company’s stock price to its revenues. The price-to-sales ratio is an indicator of the ...
  5. Hurdle Rate

    The minimum rate of return on a project or investment required by a manager or investor. In order to compensate for risk, ...
  6. Market Value

    The price an asset would fetch in the marketplace. Market value is also commonly used to refer to the market capitalization ...
Trading Center