What is the role of the securities and exchange commission (sec)? how does it influence the economy?

explain the difference between capitalism and communism. what role does the government play in each type of economic system?

The role of the Securities and Exchange Commission (SEC) is to provide transparency in the financial performance of US companies. It ensures that investors can obtain accurate and consistent information on corporate profitability, which is the ability of a company to generate sufficient profits.

The benefit is the remaining income after all costs are paid.

It influences the economy by maintaining confidence in the US stock market. That is critical for the proper functioning of the American economy.

Both communism and capitalism are a form of social organization, which are associated with trade and industry in the economy and discuss ownership of property.

In capitalism, the distribution of wealth is unequal, because the rich get richer, while the poor become poorer.

On the other hand, in communism, there is an equitable distribution of wealth, but it does not allow individuals to have personal property.

Capitalism holds in economics that government intervention must be reduced to its minimum expression. It should only be in charge of the legal system that guarantees the respect of private property, the defense of civil and political rights, the control of internal and external security, and eventually the implementation of policies to guarantee the free functioning of markets.

Communism is the government exercised by a single party that represents the people and manages all production assets: companies, factories, tools, etc., exercising strict control over the social, economic and political activities of society.

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