In which system is the means of production privately owned?

The correct answer is Option 1: Capitalism.

Option 1: Capitalism — Correct. Capitalism is an economic system in which the means of production, such as land, factories and resources, are privately owned and organised mainly to generate profit through market activities.

Option 2: Socialism — Incorrect. Socialism generally emphasises social or state ownership and control of the means of production rather than private ownership.

Option 3: Communalism — Incorrect. Communalism refers to social or political divisions based on communities or groups, not an economic system based on private ownership of production.

Option 4: Globalisation — Incorrect. Globalisation refers to increasing economic, social and cultural connections across countries. It is not an economic system defined by ownership of means of production.

NCERT: Capitalism is an economic system which is characterized by private ownership of the means of production, profit-driven economic activity, and the market allocation of goods and services. In a capitalist system, decisions about investment, production, and distribution are driven by individual or corporate profit motives rather than centralized government planning.