Which economic system was promoted as a result of the Industrial Revolution?

The economic system that was promoted as a result of the Industrial Revolution is capitalism. This shift marked a significant departure from previous economic systems, particularly feudalism, which was characterized by a rigid social structure and land ownership controlled by a few. The Industrial Revolution fostered an environment where production shifted from small-scale, home-based crafts to large-scale factory production.

In this new context, private ownership of the means of production became essential as entrepreneurs sought to maximize profits from their investments in factories, machinery, and labor. Capitalism encourages competition and innovation, allowing individuals to trade goods and services in a free market, which was increasingly facilitated by advancements in transportation and communication during the Industrial Revolution.

Additionally, the rise of capitalism contributed to urbanization, as people moved to cities in search of work in factories, paving the way for a new class of industrial workers and a burgeoning middle class. The emphasis on individual profit and the accumulation of wealth fundamentally changed economic interactions and social structures of the time, surpassing systems like socialism, which advocates for collective ownership, and barter economies, which rely on direct trade without currency.