Monday, September 28, 2015

Capitalism Defense

One never hears of a nation facing famine that experiences a resultant flowering of black-market co-ops.

Capitalism organically flows out of normal human desires to enjoy life to the highest degree possible, and it doesn't need the might of the government to force it into being. Unlike socialism or communism.

Capitalism is the enshrinement of "thou shalt not steal." Someone works to create or bring about something. Then they get to keep it. Thus the motivation to work is protected, and more work and creativity will typically ensue.

If a person tries to steal from another in a free market system, the law should step in to prevent theft. The law can also can be used to prevent force or tyranny from distorting the freedom that should be inherent in a free market (mafia, monopolies, etc.).

The free market is not a free-for-all. Regulations to protect basic human health and property are good. Regulations that protect one noisy or well-connected group from its competitors, however, are government-backed monopolies, and black markets can be expected to grow up wherever such regulations have been put into place.

A capitalist system can have a social safety net, but it must be minimal. The net should not be one that rewards an idle person with a more enjoyable life than a worker, or the system will eventually implode as too many opt to be more idle (i.e., "go John Galt"). A hardworking culture can keep that implosion at bay for a couple of generations (see Scandinavia and Germany).

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