Well, there are birth restrictions, and active on-going genocide, forced poverty, ideological suppression, just to name a couple things that should serve the purpose. — Garrett Travers
These aren't metrics. True, there are birth restrictions and suppression of information. I assume by genocide you're referring to the Uyghurs. The US knows all about crimes against humanity, of course -- especially to Muslims. As far as forced poverty goes -- not sure what you're referring to, considering they've lifted 700+ million people out of poverty (per the World Bank) and Xi's government has spent billions attempting to pull even more out of poverty -- and apparently has succeeded.
Again, plenty of terrible things to say about China. Plenty of terrible things to say about the US as well. Who's "far worse"? I'd prefer to live in the United States, myself -- but just because I'm a citizen and feel that way doesn't prove or disprove anything. In many respects, China has been a huge success and is currently outpacing the United States in many metrics.
the proper way of saying that is: to the degree that China has exapanded rights of property and the freedom of markets to operate naturally, is the exact degree to which people in China have been lifted out of poverty. It isn't Capitalism, much closer to Fascism, or Socialism (as administered by the state). — Garrett Travers
The level of state intervention in the Chinese economy is overwhelming. There are no free markets. China has opened trade with the world, which was a smart move -- but they're still an authoritarian regime. And a very successful one, unfortunately. The world is a complex place -- even good things came out of Nazism, for example. Yes, we can pretend that
nothing good came out of it, but that's emotion speaking.
True, we can attribute their success to capitalism somehow, or to the small degree that they were capitalist, or to "free markets," or the approaching of free markets, or whatever else we want to claim -- but I anticipated that already. That's simply motivated reasoning. There's no evidence for it, and nothing that can be used to disprove it. So it's a religious belief, an economic dogma. The faith in efficient markets really does parallel Christian faith in this regard.
It's like arguing "China has lifted 700 million out of poverty, therefore their market must be 40% free." It's just lunacy. We have to do better than this. Not liking China is no excuse for irrationality any more than arguing the Volkswagen didn't come out of the Nazi regime, but out of the degree to which they were _____. (Christian, capitalist, altruists, whatever.)
There isn't single Capitalist that I know of, that assesses these issues rationally, that doesn't have a problem with the above highlighted conscerns. However, I will remind you that the tactics that are put in place that allow such companies to not only grow to that size, but to comport themselves in the manner in question are generated by the state, and the state funds them and protects them in doing so. Free Market businesses and corps with those kinds of standards would be phased out in almost no time at all as a result of competition. As it currently stands, Corps are the protected class and the State is the ruling class that protects and authorizes them. — Garrett Travers
I'm not sure about the first part. They may be decent people otherwise, but I don't think you can be rational about any of this if you're a "believer" in capitalism. It's simply the nature of the game: you make profits for your company, preferably each week but definitely each quarter, or you're out. You're out as CEO, you're out as board chairman, you're acquired by other companies, you're attacked by hedge funds, etc. Remember the Friedman Doctrine: the sole responsibility of a corporation is to make a profit. We see the results. To the point where even in the face of an environmental disaster, the fossil fuel industry is still fighting to keep the industry alive -- for obvious reasons.
As to the second part, what you're stating is the efficient market hypothesis. With a free market, and free competition, everything will sort itself out naturally. There's zero evidence for this, historical or otherwise. It's at best simply hypothetical -- at worst a complete fantasy which enormous harm has been done in the name of.
Corporate America is the ruling class -- that's how wealth organizes itself, in the multinational corporation. It's here that the real power lies -- because they essentially own the state. We can say they're "protected," yes -- but they're protected for a reason. They weren't always as protected as they are today. But take a look at the cost of political campaigns -- especially since Citizens United. It's skyrocketed. Pretty obvious what the results will be.
Now true, we can blame the government. But to me that's kind of like blaming the puppet. The real power in America comes from concentrations of wealth. The rest -- politicians included -- become their employees. That's capitalism for you.
That's capitalism. It's based in private ownership and private profit. The less its regulated -- i.e., moving more towards "freedom" of the market -- the worse things get for the rest of the country, as we see in the neoliberal era. Global warming is one example -- but there are countless others. Quite apart from politics, something is going awry. It's just that people blame it on different things. One side says it's the government, the deep state, the bureaucracy, or the liberals; the other side says it's the Republican party, the 1%, etc.
— Xtrix
Well, no, it isn't, because they are funded via taxation of state created fiat currency controlled and manipulated by both the Fed and Congress. — Garrett Travers
What does the "they" refer to? Who's funded by taxation?
I can't really make heads or tails of this statement. It's true we have fiat currency and that the Fed controls monetary policy (the money supply, interest rates, etc)...but I'm not sure what this has to do with what I wrote above.
Not to mention the protections and contracts and anti-trust and patent laws. Far from Capitalism, my friend. — Garrett Travers
Not sure why anti-trust laws are in there, but yes -- the state allows capitalism to go on. We're a mixed economy, as are almost all nations on earth. It provides the foundation of capitalism -- in private ownership. I don't see how that's "far from capitalism." Rand herself argues for protections of contracts as a function of government.
You're just kind of losing me here, I guess. I've provided a definition of capitalism I think is reasonable. It's based in private ownership, private profit, and unique in its employer (owner) / employee (worker) relationship. That's what separates it from other systems in history -- because we've had all kinds of systems, just as we've had all kinds of governments.
Dirigisme, that's what you're identifying. — Garrett Travers
Neoliberalism is hardly dirigisme. The New Deal era perhaps (I wouldn't agree, but that's when you had much more regulation, more unions, more robust welfare programs, etc) -- but certainly not the last 40 years. And it was the last 40 years I was identifying.
Coming back again and again to blaming the state is exactly what I'm trying to show you doesn't work. The analysis simply breaks down. If the argument that less regulation, more privatization, less taxes, smaller government, etc. -- the neoliberal program -- is a good one (based on Rand and Friedman's principles), as it provides for freer markets (not totally free, but more free than the decades prior), then we should be seeing proportional results -- the kind you mentioned earlier when trying to account for China's success with poverty.
The results of the last 40 years has been a disaster. I could go through the specifics if you like, but if you compare the era from the 40s-70s to the 80s-today, the results may surprise you. One era you had what Friedman and Rand railed against (the New Deal policies), the other you had policies they advocated for. You say the latter is dirigisme makes me wonder: what ISN'T dirigisme? Has it ever existed? Has it even come close to existing? When? Where?
And the only time in 20 years we've moved away from heavy, deep regulation was under Trump, and it wasn't near enought to stop the Fascism slowly approaching. — Garrett Travers
Trump was continuing what had been going on for decades, beginning with Reagan -- who did far more damage than Trump, in many ways.
They also thought they could provide for their people, with all that juicy money coming from the oil fields. What happens when people stop buying, when America goes oil independent? Then everything falls apart and everyone loses their minds. — Garrett Travers
You mean when the US imposes severe sanctions? Yes, it's pretty obvious to anyone what would happen.
Saying capitalism is a "domain that recognizes" is incoherent to me. You're defining it out of any relevance. Capitalism is a socioeconomic system, one based on private ownership and unique in its relationship between employers and employees. Like feudalism before it, we have a different organization of power.
— Xtrix
No, my friend, these are Socialist lies. — Garrett Travers
It has nothing to do with socialism. It's also not a "lie," it's a definition. I'm not claiming it's "the" definition -- capitalism, like socialism, is a complex word. Many interpretations, no doubt. I'm offering one, and not an uncommon one -- actually pretty standard -- and willing to explain it further. So I'm not sure where this comment is coming from, or why what I said is so threatening as to make it.
The Feudal system was NOT an ecomic relationship between people, it was a power hierarchy predicated on brute force and the Divine Right of Kings to rule. — Garrett Travers
A power hierarchy doesn't involve relationships between people? The very heart of feudalism was the relationship between a lord and a vassal. The divine right of kings is somewhat related. As for brute force, I'm not sure what you're referring to. Force was a factor there as well, but not central.
Maybe an outside source can help a little:
Feudalism, also known as the feudal system, was the combination of the legal, economic, military, and cultural customs that flourished in Medieval Europe between the 9th and 15th centuries. Broadly defined, it was a way of structuring society around relationships that were derived from the holding of land in exchange for service or labor.
(Wikipedia)
The land was called a fief, which is where feudalism gets its name. Manorialism plays a big role, and so on.
It was one system. Slavery is another system. There are all kinds of socioeconomic/political systems. My point in bringing it up was to contrast it to capitalism, which is a different socioeconomic system. It grew up out of the middle ages and took off in the industrial revolution.
I don't think any of this is controversial.
Capitalism is NOT a power dynamic, but many hierarchies — Garrett Travers
Feudalism had many hierarchies as well. Hierarchies are structures of power, and involve power dynamics -- almost by definition.
There are all kinds of gradations of rank in every society. Capitalism is no different in this respect. But instead of a king at the top -- as with monarchy -- or with masters and lords as in slavery or feudalism, respectively, we have a different hierarchy. Who's at the top? Well, to make it concrete, let's look at a corporation. Who's at the top of a corporation? Yes, the CEO -- but also the chairman of the board of directors. The board of directors are voted in by the shareholders (one share, one vote -- so especially the major shareholders). These are the owners (technically, not legally the owners, but de facto owners).
So one could argue it's the shareholders, the board of directors, and perhaps the CEO and a handful of other executives. That's really not many people -- maybe 50? In a corporation that employs hundreds, thousands, even millions of people -- that's the top of the pyramid.
What are "employers"? Just another word for owners, really. Who owns the corporation? The public? No -- they're owned by private individuals.
So there you go. That, in my view, is the heart of capitalism. It's a system based in private ownership. The corporation is the example I use because it's the primary form of organization today. They're owned and controlled privately -- not through the government. The state can regulate and legislate, no doubt -- but for the last 40 years it's been the opposite: de-regulation, tax cuts, etc. Not to mention subsidies and bailouts. The state works for the corporate sector -- for the owners of this country.
Look at the word "capitalist," which pre-dates the word capitalism, and it begins to become clear. A capitalist is an
owner of capital. Again, it's about ownership -- but private ownership. Marx says the private ownership of the "means of protection," a particular kind of property, but I like to just say private property generally.
The closest examples that we have of Feudalism in the modern world are North Korea and Saudi Arabia, to name a couple. Those are NOT free market societies. — Garrett Travers
True -- Saudi Arabia is a mixed economy. Sweden is a mixed economy. Germany is a mixed economy. Brazil is a mixed economy.
There are no free markets. If free markets is how you're defining capitalism, then it doesn't exist any more than a communist utopia exists.
So saying something isn't a free market society is pointless. The United States isn't a free market society either.
Here is the definition of Capitalism: an economic and political system in which a country's trade and industry are controlled by private owners for profit, rather than by the state. — Garrett Travers
Well, fine -- that's kind of what I was saying earlier -- with the important qualification that, again, there is state intervention on nearly every level in the United States, China, German, Japan, India, etc. That is, there are no free markets and the owners of capital don't have complete control over trade and industry -- the state plays a huge role. So if capitalism is a system in which trade and industry are controlled by private owners, then capitalism exists exactly
nowhere.
But yes, private ownership, private property, private profit -- those are essential features of capitalism. The relationship between owners and their wage-workers, their employees, is a unique one in history. The owner is not a lord, is not a king, is not a clergy -- his power comes from his ownership of property, of capital. He owns the land, the factories, the equipment, the means of production, etc., and gives some of his/her money (not protection from harm, not from the devil) to the worker in exchange for their labor. This is the game, the rules of the game.
That game -- that system -- is capitalism.
As far as stock buy-backs, that isn't an issue. Stock buy-backs do nothing to the bottom line that workers recieve, or anything like that. — Garrett Travers
This is just factually wrong. It has in fact impacted the bottom line of workers. It's partly why wages have stagnated. There's a lot of good, non-partisan scholarship on this, in fact. Happy to give references. The numbers are astounding -- trillions of dollars in buybacks in the last couple decades. Companies often issue debt to finance buybacks -- and so the debt picture is looking very bad indeed. It's been sustained temporarily by QE, but it's not pretty.
Why do they do this? Why buy back stocks? What good does it do? Ask yourself.
You might recall the printing-press and the reformation that followed, of which the Earth still holds echo. — Garrett Travers
There's no doubt technology is playing a huge role. My only point was that this discontent pre-dates a lot of the more recent, and more troubling, technology (iPhones, social media, etc.).