Growth of capitalism has lead to which of the following?

Extension of markets

The correct answer is Option (1) → Extension of markets

Capitalism typically involves the expansion of markets, both domestically and internationally, as businesses seek to sell goods and services to larger numbers of consumers and access new markets for investment and trade.

Here's why the other options are not aligned with capitalism:

• Decrease in trade: Capitalism thrives on trade and exchange. It generally promotes open markets and encourages trade between different regions and countries.
• Shrinking of global markets: While there can be fluctuations, the overall trend of globalization under capitalism has been an expansion of global markets.
• Disconnect between markets: Capitalism is built on the idea of interconnected markets, where goods and services flow between different actors.