Which of the following is NOT a feature of capitalism ?

Step 1: Analyze the question The question asks which option is NOT a feature of capitalism. So four options describe capitalism, and one does not.

Step 2: Key concept Capitalism is an economic system where resources are privately owned and economic decisions are guided by the price mechanism (market forces of demand and supply), not by the government.

Main features of capitalism:

• Private ownership of property and the means of production
• Free enterprise (freedom to start any business)
• Competition among producers and sellers
• Profit motive, driven by entrepreneurs
• Consumer sovereignty
• Price mechanism determining allocation of resources
• Limited government interference

Step 3: Check each option

• A. Detailed economic planning: This is a feature of socialism/communism (command economy), where the state plans production and distribution. It is not a feature of capitalism.
• B. Free enterprise: Yes, a feature of capitalism.
• C. Competition: Yes, a feature of capitalism.
• D. Private ownership of property: Yes, this is the core feature of capitalism.
• E. Entrepreneurs and the pursuit of profit: Yes, the profit motive drives capitalist production.

Step 4: Answer The only option that does not belong to capitalism is A. detailed economic planning.

Exam tip: Link keywords to systems:

• Planning, state control, public ownership → Socialism/Command economy
• Private ownership, profit, competition, free enterprise, price mechanism → Capitalism

When you see "NOT a feature of capitalism," look for the option that sounds like government control.