Is Capitalism, Good or Bad?
For more than a century, the debate whether is Capitalism is good or bad is still a worthy discussion. As we all know, everything has its negative and positive side. As years goes by, the original concept of capitalism has evolved, and people’s views and opinion also changes as results.
Capitalism is synonymous with Western and highly industrialized countries, and there are some also believe that capitalism symbolize all the greediness and evil in a society. As old saying stated “The rich gets richer and the poor gets poorer”, this saying said to be the most exact sentence to describe the evil of capitalism, but with this article, there are still more to discuss than this.
What Is Capitalism?
Before we jump into the main topic, first let us understand more what is capitalism? Most western economist defines capitalism as a condition where all the means of production and infrastructures are owned by private individual or group of individuals, thereby giving the absolute power to decide and make profit at there will. The balance of supply, prices, distribution and investment are solely rely in the hands of this private individuals. Thus the abuses in power and exploitation are almost inevitable on the parts of the private owner.
Capitalism stimulates economic growth, but the manner in achieving this growth rate is the main problem and source of this discussion. As of present, nation that operates purely as capitalist state is uncommon. Many of sovereign states in the world functions with mixed economical structure. As to Socialism that the ownership of major industries and infrastructures is owned and run by the government.
Case against Capitalism
With all the benefits and advantages of capitalism, many still view capitalism with much skeptics and suspicion. But these non-believers and critic’s arguments are almost always accurate and justified, with materials basis as back up. One of the major problems of capitalism is the monopolization, the bigger the capital you have, the bigger chances for you to monopolize the resources, the bigger chances for you to exploit the manpower. And scenario is happening right now.
In addition, the capitalist system of economy becomes too much profit oriented and materialistic in nature, this has direct affects to the inhabitants of a country, morally and spiritually. The end results are not visible overnight, but it slowly creeping to the minds and systems of the citizen of a certain nation. Economic disparities begin to show, thus it leads to rise of many social crimes and moribund cultures. Overall, the society suffers some negative consequences which it could have surely done without. Exploitation is the biggest drawback, an offshoot result of craving to earn more and more profits. Man power and natural resources are highly exploited in capitalism, thus resulting to a bigger problem in the future.
And to answer to first question, is capitalism, good or bad? It depends on which capitalist country that we embraced in. The reality of there is no perfect society as of present; there will always be chinks on the armor of what socio-economic system that we have right now. This is an inevitable evil of society, and even socialism is not excused from this.
It is for this reason that many countries are adopting a mixed economy today, where there is a mutually beneficial co-existence of capitalism and socialism. This opens up the economy to the benefits of capitalism, while shielding the poorer classes from exploitation as well.
There is no definitive answer to ‘Is capitalism good or bad’, because it depends on how the economy is run. There are both, advantages and disadvantages of capitalism, and to label capitalism as simply good, or bad, is not possible.