What constitutes a true act of capitalism?
Today, all economic interactions within the United States are described as "capitalistic." Since there are rampant economic issues, this is used as proof that free markets do not work. Given how intrusive regulation is, this is obviously a fallacious claim. But, even where there is no regulation, are all free market actions truly "capitalism"? If capitalism is an exercising of free will, an expression of a consumer recognizing the merit of a product and endorsing it through their purchasing power, then do those who simply purchase goods based on the price or because they are "convenient" engage in capitalism?
1. Claim the free market doesn't work.
2. Do absolutely everything they can to destroy the free market.
3. Say "See? We told you the free market doesn't work!"
4. Blame Capitalists.
other reasons. For instance, a person may hang
around a particular store because he enjoys the
company of the storekeeper and other customers
who come there, and possibly there is a TV set on which the people watch programs (or sports
shows). (Historically, I believe there were
instances of a checkerboard and cider, etc.)
Is that a point against capitalism? Not at all.
I say we should have freedom. In which case,
the capitalist system would also flourish.
I think you are correct in noting that the problem is in definitions, with the socialistic crowd labeling certain economic interactions "capitalistic" when they clearly are anything but in the eyes of free market advocates. What the left often fails to do is differentiate between free market, voluntary trade (what we are forced to call capitalism for lack of alternative word), and government collusion with business, or what many have labeled "crony capitalism."
Governments that confiscate wealth from citizens and redistribute it to certain businesses, directly via subsidies, or indirectly via tariffs on competing companies, that is immoral and corrupt. Unfortunately, a large number of people have been brainwashed by leftist media, academia and Hollywood into thinking crony capitalism also called (interventionism, favoritism, mercantilism) is what is meant by "capitalism."
What we need is a better word to represent free, voluntary trade. Until then, we might as well be using "crapitalism," as the current descriptor.
"an economic system in which investment in and ownership of the means of production, distribution, and exchange of wealth is made and maintained chiefly by private individuals or corporations, especially as contrasted to cooperatively or state-owned means of wealth."
Beyond that I think it comes from "to capitalize", on anything one might have and seek to profit from.
The Rulers prefer to shade it sinful, and an excuse to screw with the natural Free Market.
Markets have existed for perhaps 8000 years. But realize that they are not "natural" to all peoples. Even today, people who do not associate with market economies have a different mental framework from those who do. (See "The Weirdest People in the World" here: http://www2.psych.ubc.ca/~henrich/pdf... ) In the Anabasis ("Journey Up Country") by Xenophon, at one point, the Greek soldiers are short on provisions and they ask a village to set up a market so that they can buy foodstuffs with coins, but the villagers are unable to understand what the Greeks want.
Even so, for thousands of years Sumerians, Persians, Greeks, Romans, Chinese, and Indians, did indeed buy and sell, make purchases, make choices. But their societies were not capitalistic.
Some libertarians dislike the word "capitalism" because as an ISM, it refers to "the rule of sociey by..." as in feudalism, socialism, fascism, agrarianism, and so on... They prefer a society ruled by no one social group. Fair enough, perhaps...
But, what is a society "ruled by capitalists"?
It is not an easy question. That is why Capitalism: the Unknown Ideal runs 24 chapters. We decry "liberal education" but still even in the Gulch people want one-line definitions. Reality is more complicated than that.
Capitalism depends on people who know reality, use reason, and identify their self-interest, and are able to act on that without interference from a government limited to protecting rights. That kind of society is one that is powered by investment in enterprise. That requires discovery and creation, innovation and invention. Merely buying a sheep instead of a goat is not capitalism. Capitalism was invented in the Age of Reason when the first joint stock companies, beginning with the Dutch East India Company, sold shares of investment. That blossomed in the 19th century with corporations that financed railroads, telegraphs, radios, and electronic components -- and in the 20th century automobiles, aircraft, and computers, delivering to us the world we have today.
(See "The Art of Finance" here: http://necessaryfacts.blogspot.com/20... and Scripophily here: http://necessaryfacts.blogspot.com/20... )
So, on that basis, I assert that it is objectively impossible for the government to invest in enterprise.
http://www.dictionary.com/browse/inve...
Note that the source of the funding is not part of the definition.
very well have desires upon which they act, which
desires are contrary to their rational (emphasis on
rational) self-interest.