Capitalist Democracy – SS2 Civic Education Lesson Note (First Term)

Capitalist democracy is the operation of the principles of representative democracy in a capitalist economic system.

• In politics: qualified adult citizens take part in government through periodically elected representatives.
• In the economy: individuals or the private sector own and control the major means of production and distribution.

Behavioural objectives

By the end of the lesson, students should be able to:

1. define capitalism and democracy;
2. distinguish between direct and indirect democracy;
3. define capitalist democracy;
4. state and explain the characteristics of capitalist democracy;
5. state some advantages and disadvantages of capitalist democracy.

What are capitalism and democracy?

Capitalism is an economic system in which individuals or the private sector own and control the major means of production and distribution in a state.

• Means of production: the things used to make goods, such as land, factories, machines and money (capital).
• Means of distribution: the channels that move goods to buyers, such as shops, markets and transport.

Democracy is a system of government in which all qualified adult citizens take part in the administration of the state, either directly or through elected representatives.

• Origin of the word: it comes from the Greek words demos (people) and kratos (rule or power).
• Meaning: democracy means “rule by the people”.
• Origin of the practice: democracy is traced to ancient Greece.

What are the features of capitalism?

The main features of capitalism are private ownership, the profit motive, competition and market forces.

• Private ownership: individuals and companies own property, businesses and factories.
• Profit motive: business owners work to earn profit.
• Competition: many sellers compete for buyers, which can improve quality and lower prices.
• Market forces: demand and supply largely decide what is produced and the prices charged.

What is the difference between direct and indirect democracy?

Direct democracy is a system in which all qualified adult citizens are physically present to take part in decision-making on the affairs of the state.

• Example: the city-states of ancient Greece, where citizens gathered to decide public matters.
• Best suited to: small populations that can meet in one place.

Indirect democracy, also called representative or modern democracy, is a system in which citizens take part in the affairs of the state through representatives they elect periodically.

• Example: Nigeria, where citizens vote for the President, Governors and members of the legislature.
• Best suited to: large populations that cannot meet in one place.

What is capitalist democracy?

Capitalist democracy is the operation of the principles of representative democracy in a capitalist economic system.

• Political side: leaders are chosen by the people in periodic elections.
• Economic side: private individuals and firms run most businesses.

What are the characteristics of capitalist democracy?

Capitalist democracy has nine main characteristics, from the supremacy of the constitution to economic freedom.

• Supremacy of the constitution: the constitution is the highest authority and decides what is lawful or unlawful.
  
  No person, institution or group can act beyond its provisions.
• Periodic elections: representatives are changed from time to time through popular elections.
  
  In Nigeria, elections are held every four years to choose leaders for the elective positions.
• Respect for fundamental human rights: the system provides for the protection of human rights.
  
  Abuse of human rights can lead to punishment of the offender.
• Operation of the rule of law: everybody is equal before the law and nobody is above it.
  
  Stature, education, position or possessions do not change a person’s rights.
• Existence of a multi-party system: more than two political parties are allowed to operate.
  
  Citizens therefore have alternatives to choose from at elections.
• Free press: print and electronic media can inform the public and criticise constructively.
  
  They do this without government interference or intimidation.
• Separation of powers: government functions are shared among the legislature, the executive and the judiciary.
  
  The organs act separately but cooperate in carrying out their constitutional duties.
• Tolerance of opposition: citizens and groups may oppose and criticise government policies constructively.
• Economic freedom: individuals may spend their money as they like and may enter any legal business.
  
  Consumption depends on a person’s financial capacity and on demand and supply.

The three organs of government

What are the advantages and disadvantages of capitalist democracy?

Advantages

• Freedom: citizens enjoy political and economic freedom.
• Choice of leaders: the people can remove poor leaders through elections.
• Competition: competing businesses can improve goods and services.
• Accountability: a free press and opposition can expose wrongdoing.

Disadvantages

• Gap between rich and poor: wealth may gather in the hands of a few people.
• Money in politics: wealthy people may have more influence than others.
• Cost: elections and running several organs of government are expensive.
• Slow decisions: separation of powers and debate can delay action.

Evaluation

1. Define capitalist democracy.
2. Differentiate between direct and indirect democracy.
3. State five characteristics of capitalist democracy.
4. Explain what is meant by the rule of law.
5. How often are elections conducted in Nigeria?

Assignment

Instruction: From the options lettered A to D, choose the letter that is most appropriate for each question. Answer all the questions.

1. The Greek word “Demos” means: A. government B. people C. society D. devil.
2. The origin of democracy is traceable to: A. Nigeria B. Rome C. Greece D. America.
3. The major difference between direct and indirect democracy is: A. election B. constitution C. personalities D. involvement.
4. Separation of power is usually between the: A. levels of government B. types of government C. functions of government D. organs of government.
5. Which of the following principles emphasises equality before the law? A. election B. executive C. rule of law D. separation of power.