What does the term 'Capitalism' primarily refer to?

The term 'Capitalism' primarily refers to a system where private individuals or businesses own capital goods, and production and prices are determined by competition in a free market. In this framework, the goal is to generate profit, which is why option C is the correct choice.

In a capitalist system, the mechanisms of supply and demand regulate the market, and businesses operate mainly for profit, seeking to maximize their financial returns. This emphasis on private enterprise and profit maximization underlies various economic activities, encouraging innovation and efficiency as companies attempt to attract consumers and outperform competitors.

The other options don't align with the definition of capitalism. A government-controlled economy suggests a centralized authority making economic decisions, which is characteristic of socialism or communism. A cooperative ownership model is focused on shared ownership and benefits among members, diverging from the profit-driven motive inherent in capitalism. Lastly, non-profit business operations are not driven by profit generation, which fundamentally contradicts the essence of capitalism centered around profit-making enterprises.