Pure capitalism?

Question

what are the advantageous & the disadvantageous?

Answer 1

Hello,

(ANS) Capitalism is a paradox I think, its a contradiction in terms. The capitalistic system used across the world today is the dominant system of exchange.

** It is based upon money or currency as the method of exchange, however capitalism is driven as far as I can see by greed & fear and this shows in the wider global stock markets (bear market or bull market etc).

**The Negatives or downside of a capitalistic system are that personal greed or the drive for profit (personal or company level or corporate level) over rides basic human needs.

**Human needs should come first but sadly DON'T capitalism is supposed at best to be Amoral but in reality capitalism is VERY frequently completely immoral in nature i.e. the Arms Trade, The illegal drugs trade, the p**n trade etc,etc. The exploitation of children, women in the clothing trade i.e. Primark Ltd.

**On the positive side of capitalism it does allow for mutual exchanges of goods & services in a theoretical market place (the market place is both theoretical & real to some limited degree its very ethereal in quality). We (you & me) can negotiate or agree on the price of an object such as a second hand car for example and exchange goods for money without any great difficulties involved. Obviously people do fall out or have rows over money but most of the time the money based system of exchange is clearly understood and works well.

**The major problems seem to come from debt & credit process and this operates from the individual up to and including governments.

Ivan.

Answer 2

In the ideal world, Pure Capitalism will make for an efficient economy as competition drives out the incompetent business and prevents over pricing.

However in the last 20 years, having got rid of the inefficiencies of State Monopolies, we are now under an even greater yoke. International oligopolies control most of the world's resources and many of their businesses. Tax revenue used to fund inefficient utilities and other national companies. Now privatised, many goods and services are over priced for the benefit of the shareholders and executives of International Corporations. Tax revenues fund uncompetitive contracts with suppliers that permit excessive profits to be made at public expense.

Capitalism is an excellent system but governments failed to control and regulate it's behaviour, resulting in Corporations now controlling governments.