Arguments Against Capitalism
by A discussion of several common arguments against Capitalism and how they are wrong.
People claim that capitalism is the reason behind pollution of the environment. But again, a company that pollutes the environment would be making decisions that are hurtful to its profits. If people were to find out that some company is destroying the environment, they would be likely to take their business elsewhere resulting in losses for said company. By looking at how companies have been marketing themselves, especially in the past few years, it’s obvious that they becoming more and more environmentally friendly. It’s beneficial for them, because many consumers are more likely to purchase goods they know were manufactured without resulting in unnecessary pollution. If one looks at the countries with the worst pollution problems, such as China, India, Zambia or Russia, their economies are not capitalist.
One other thing that is used as an argument against capitalism is that it is prone to monopolies. While it is true, there are certain monopolies in a free market society, they can be replaced much more efficiently than in other forms of economy. If a company has a monopoly, they’re likely to try and have the lowest prices possible and the best products, otherwise they’ll be unable to remain a monopoly. If their business falters, new entrepreneurs will be there to take over almost instantly. In other economies where the government has a monopoly on certain goods or services it would be either very difficult or nearly impossible to replace the monopoly. The film Food Inc. is a documentary about certain food companies which are claimed to have monopolies in their respective markets. Even though some companies have very large market shares in certain products, they keep prices low and so most people benefit from this. It especially helps the poor. Big corporations that are able to cut costs and deliver goods at the lowest prices make life more affordable for the lower percentage of wage earners.
There are always enemies to any idea, and capitalism is no exception. Many people argue against it and claim that other markets would be better, yet somehow, the countries with free market systems are the ones that have been the most powerful and rich. This is not only because of the low prices and availability of goods, but because people like to have freedom when they choose what to buy or do. Therefore, the arguments aforementioned are untrue, with no data to support them.
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Post CommentAnarchoRationalist
On December 10, 2010 at 10:18 pm
Aw lame, I was hoping that you would posit some valid arguments against capitalism.
Here is the problem with your defenses of Capitalism: Capitalism is an ideology, not reality, the map is not the territory.
Capitalism is based on praxeology, maps of human behavior within given circumstances. Like all models of human behavior, Capitalism is simplistic, it asserts that people will always act in their self interest, or that the ones that do will be more efficient and profitable than the ones that don\’t. Unfortunately reality has no concept of self-interest, we don\’t act in our self-interest, we act reflexively according to our instincts and our unique experiences of trauma and validation. Humans are inefficient, ignorant, lucky, or even moral.
The real world is messy, in the real world Capitalism doesn\’t abide by it\’s own rules, it has involved theft of land, slavery, exploitation of economic disadvantage, consumerism, the de-stabilization of the eco-system and the human economy, cartelization, monopolization, mass murder, and even buddies up to the government and fascism. In short, Capitalists have done all of the things that Capitalisms detractors have criticized it for. There is a reason that they associate Capitalism with these societal problems: they are watching it happen.
Capitalism, in it\’s most basic sense: private property right, is morally inoffensive and is probably necessary. Anything beyond that though is dangerous, and we should never excuse people for behaving immorally with ideological apologetics.
If you make less than your employer, then you are being exploited, and they are doing Capitalism wrong.
(note: I do not advocate statism or violence based regulation of the economy. I am simply arguing against the ideology of Capitalism)
peace, love, and lollipops
John Schell
On January 2, 2011 at 6:06 pm
Fact check: Russia’s economy is capitalist.